Why isn't this Overlapping?

--ghc 7.10 or 8.0.1 {-# LANGUAGE DataKinds, KindSignatures, GADTs, MultiParamTypeClasses, FunctionalDependencies, FlexibleInstances, UndecidableInstances, NoOverlappingInstances #-} class TypeEq a a' (b :: Bool) | a a' -> b instance (b ~ True) => TypeEq a a b instance (b ~ False) => TypeEq a a' b Those two instance heads are nearly identical, surely they overlap? And for a type-level type equality test, they must be unifiable. But GHC doesn't complain. If I take off the FunDep, then GHC complains. AFAICT none of those extensions imply Overlaps, but to be sure I've put NoOverlapping. AntC