A union code group can have zero or more child code groups. A child code group contributes to the permission set granted ...

A union code group can have zero or more child code groups.  A child 
code group contributes to the permission set granted for an assembly only when both its 
own and its parent code group's membership conditions are met.  If a 
code group's membership condition fails to match the evidence, any child code 
groups will be ignored.
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