Let's look at 1 John 1: 1-10 in context:
1 That which was from the beginning, which we have heard, which we have seen with our eyes, which we have looked at and our hands have touched—this we proclaim concerning the Word of life. (Jesus)
2 The life appeared; we have seen it and testify to it, and we proclaim to you the eternal life, which was with the Father and has appeared to us. (Jesus)
3 We proclaim to you what we have seen and heard, so that you also may have fellowship with us. (Believe upon Jesus and become a son of God as well)
And our fellowship is with the Father and with his Son, Jesus Christ. (Because they believe upon Jesus- cleansed by Jesus' blood) 4 We write this to make our joy complete.
Light and Darkness, Sin and Forgiveness
5 This is the message we have heard from him and declare to you: God is light; in him there is no darkness at all.
6 If we claim to have fellowship with him and yet walk in the darkness, we lie and do not live out the truth. (Walk in the dark: denying that we do wrong/ sin)
7 But if we walk in the light, as he is in the light, we have fellowship with one another, and the blood of Jesus, his Son, purifies us from all sin. (The light: God is Righteous, no evil, no darkness. However, man does sin and in order to recognize the need for God's Son, each person must come to realize that he does sin and needs to be forgiven and cleansed by blood- the blood of His Son- Jesus)
8 If we claim to be without sin, we deceive ourselves and the truth is not in us.
9 If we confess our sins, he is faithful and just and will forgive us our sins and purify us from all unrighteousness.
10 If we claim we have not sinned (this is walking in the darkness), we make him out to be a liar and his word is not in us.
The above verse is often read as: You must first confess your sin, ask God to forgive you and then you're forgiven, but if you don't confess a sin, you're not forgiven and therefore unrighteous and have broken fellowship with God - This is man's theology.
In context: John was addressing the Gnostics (Non- believers) and was contradicting their heresy.
The Gnostics believed that all Matter - including the human body, was entirely evil, while spirit, including God, who is wholly spirit, is entirely good, and they believed salvation is the escape from the body, achieved not by faith in Christ, but by special knowledge.
Gnostics denied that their immoral actions were sinful. They denied having sin in their lives. Gnostics did not walk in the light, they did not believe they sinned when they committed un-righteous acts, and thus did not believe they needed to believe upon Christ Jesus to be made righteous.
This is where the hairs have been split.
Many believe that when we sin, we, due to the sin just committed, we break fellowship with God, and that our advocate, Jesus, can not plead on our behalf until we confess our sin.
This is true for the un-believer: The un-believer does not have an advocate UNTIL He believes upon THE Advocate- Jesus.
The un-believer does not have fellowship with God UNTIL he comes to understand that he is a sinner in need of a savior, and in that moment that he realizes, confesses with his mouth Jesus is Lord and believes in his heart that God raised Him from the dead, he is saved and now walks in the light, cleansed of all un-righteousness, ONLY because of his faith in Jesus. (Romans 10: 9&10)
This is the fear of teaching that we've been made permanently righteous by the Blood of Jesus.
"What is going to keep people from sinning? If they are told they are righteous, even when they sin, why would they stop?"
If we taught as the Gnostic's believed, that everything a person DOES is now righteous- this would be heresy!
Righteousness by Faith in Jesus' Blood is this: I am only righteous because of Jesus' sacrifice. The believer is now righteous, but is still capable of un-righteous actions.
And when a believer does sin (commits an un-righteous act), because the Spirit of God lives in the believer, who is righteous and reminds the believer of their righteousness before God (only because of Jesus) the sin the believer just committed, be it action or thought, is pointed out by the Righteous Holy Spirit, convicting the believer that he is Righteous, and that brings the believer to repentance (to the place where he changes his mind)
Because the believer walks in the light, knowing that we do un-righteous acts, however, understands that out of God's great love for us, He sent His Son, Jesus, to keep the believer right before God, even when the believer does wrong, it's the revelation of this great kindness of God that brings the believer to the place of repentance.
Repentance means: Change of mind. When we make a decision to change our mind- we change our lives. When we believe we're righteous, we will live righteous... when we believe right- we live right.
Although the believer may commit an un-righteous act, it does not make the believer un-righteous, it does not constitute the believer breaking fellowship with God, nor God breaking fellowship with the believer.
1.When we sin, we commit an un- righteous act that has ALREADY been punished in the body of Jesus, who IS my Righteousness.
2. It's the revelation that God's kindness provided for my punishment/ forgiveness / my right standing/ my righteousness before Him in advance, that leads me to repentance, which means to change my mind.
3. It's when a mind has been changed that the actions will change. From un-righteous actions to righteous
4. It's the revelation that God loved me first, and provided the blessing of Righteousness that brings me to a place of love for Him which results in grateful obedience.
When we realize that when we sin, (and we ALL do) and the fact that He loves us so much that He sent His Son- Jesus, not to condemn us but to save us, and by THAT sacrifice that keeps us right before God, that is the Kindness, the Love, the Goodness of God that it draws us to the place of REPENTANCE, which means to change our minds, which results in our making the decision, "I no longer want to do ______".
It's what ever the Holy Spirit has pointed out to us- individually, be it, "I no longer feel right about watching rated R movies"- I shouldn't reject this person" - "I shouldn't dress like this" to " I should not continue in this fornication or adultery"
Sin is NEVER acceptable to God; however, when we sin, we never loose our right standing before God, and THE only reason that we don't, is because of Jesus' sacrifice- Him taking the punishment that was due us - is what keeps us from breaking fellowship with God.
Under the law, when the people sinned, they had to not only acknowledge they had sinned, but also bring a blood sacrifice to the priest to cover that sin, and that is what made them re-qualified for God's blessing= Works, self-effort/ self- righteousness.
Now, we are under a better covenant, we have a High Priest that does not go before God with the blood of bulls and goats, but by His own blood, He is our 'Once for ALL' sacrifice, thus making US (not our actions/thoughts) Permanently Righteous. (Hebrews 9 &10)
Hebrews 10: 10 ... we have been made Holy through the sacrifice of the body of Jesus Christ once for all.
Because we have believed man's theology, that our un-righteous act or thoughts (sin) does break fellowship with God, the result is our feeling condemnation for the wrong done, and that is what causes us to shrink back, feel unworthy and unacceptable.
And this is what God say about shrinking back (due to condemnation)
Hebrews 10: 38 & 39
But my righteous one will live by faith. And if he shrinks back, I will not be pleased with him. But we are not of those who shrink back and are destroyed, but of those that believe and are saved.
Our righteousness come by faith in Jesus' complete work on our behalf, and this believe is what saves us, as well as, give us confidence to boldly approach God's throne of Grace, and gives us a sound mind, peace and joy. (Romans 3: 21- 26 & Romans 5)