Scrap my earlier mumblings and the patch! Having been put right again by Christos:
When this option is on, if a simple command fails for any of the reasons listed in Consequences of Shell Errors or returns an exit status value >0, and is not part of the compound list following a while, until, or if keyword, and is not a part of an AND or OR list, and is not a pipeline preceded by the ! reserved word, then the shell shall immediately exit. This is part of an AND.. Patrick
