-In general, <emphasis>instance declarations may not overlap</emphasis>. The two instance
-declarations
-
-
-<programlisting>
- instance context1 => C type1 where ...
- instance context2 => C type2 where ...
-</programlisting>
-
-"overlap" if <literal>type1</literal> and <literal>type2</literal> unify.
-</para>
-<para>
-However, if you give the command line option
-<option>-fallow-overlapping-instances</option><indexterm><primary>-fallow-overlapping-instances
-option</primary></indexterm> then overlapping instance declarations are permitted.
-However, GHC arranges never to commit to using an instance declaration
-if another instance declaration also applies, either now or later.
-
-<itemizedlist>
-<listitem>
-
-<para>
- EITHER <literal>type1</literal> and <literal>type2</literal> do not unify
+In general, <emphasis>GHC requires that that it be unambiguous which instance
+declaration
+should be used to resolve a type-class constraint</emphasis>. This behaviour
+can be modified by two flags: <option>-fallow-overlapping-instances</option>
+<indexterm><primary>-fallow-overlapping-instances
+</primary></indexterm>
+and <option>-fallow-incoherent-instances</option>
+<indexterm><primary>-fallow-incoherent-instances
+</primary></indexterm>, as this section discusses.</para>
+<para>
+When GHC tries to resolve, say, the constraint <literal>C Int Bool</literal>,
+it tries to match every instance declaration against the
+constraint,
+by instantiating the head of the instance declaration. For example, consider
+these declarations:
+<programlisting>
+ instance context1 => C Int a where ... -- (A)
+ instance context2 => C a Bool where ... -- (B)
+ instance context3 => C Int [a] where ... -- (C)
+ instance context4 => C Int [Int] where ... -- (D)
+</programlisting>
+The instances (A) and (B) match the constraint <literal>C Int Bool</literal>,
+but (C) and (D) do not. When matching, GHC takes
+no account of the context of the instance declaration
+(<literal>context1</literal> etc).
+GHC's default behaviour is that <emphasis>exactly one instance must match the
+constraint it is trying to resolve</emphasis>.
+It is fine for there to be a <emphasis>potential</emphasis> of overlap (by
+including both declarations (A) and (B), say); an error is only reported if a
+particular constraint matches more than one.
+</para>
+
+<para>
+The <option>-fallow-overlapping-instances</option> flag instructs GHC to allow
+more than one instance to match, provided there is a most specific one. For
+example, the constraint <literal>C Int [Int]</literal> matches instances (A),
+(C) and (D), but the last is more specific, and hence is chosen. If there is no
+most-specific match, the program is rejected.
+</para>
+<para>
+However, GHC is conservative about committing to an overlapping instance. For example:
+<programlisting>
+ f :: [b] -> [b]
+ f x = ...
+</programlisting>
+Suppose that from the RHS of <literal>f</literal> we get the constraint
+<literal>C Int [b]</literal>. But
+GHC does not commit to instance (C), because in a particular
+call of <literal>f</literal>, <literal>b</literal> might be instantiate
+to <literal>Int</literal>, in which case instance (D) would be more specific still.
+So GHC rejects the program. If you add the flag <option>-fallow-incoherent-instances</option>,
+GHC will instead pick (C), without complaining about
+the problem of subsequent instantiations.