>
E has neither
element nor character [children], and
E is not
·nilled·...
in full it says
5The appropriate case among the following is true:
5.1If D has a {value constraint}, and
E has neither
element nor character [children], and
E is not
·nilled· with respect to D
, then all of the following are true:
5.2 If D has no {value constraint}, or E has either element or
character [children], or E is
·nilled· with respect to D, then all of the following are true: