$ hg init repo

  $ cd repo

  $ echo base > base

  $ hg add base

  $ hg commit -m "base"

  $ hg bookmark -i base

  $ mkdir a

  $ echo 1 > a/b

  $ hg add a/b

  $ hg commit -m "file"

  $ hg bookmark -i file

  $ echo 2 > a/b

  $ hg commit -m "file2"

  $ hg bookmark -i file2

  $ hg up 0

  0 files updated, 0 files merged, 1 files removed, 0 files unresolved

  $ mkdir a

#if symlink

  $ ln -s c a/b

#else

  $ touch a/b

#endif

  $ hg add a/b

  $ hg commit -m "link"

  created new head

  $ hg bookmark -i link

  $ hg up 0

  0 files updated, 0 files merged, 1 files removed, 0 files unresolved

  $ mkdir -p a/b/c

  $ echo 2 > a/b/c/d

  $ hg add a/b/c/d

  $ hg commit -m "dir"

  created new head

  $ hg bookmark -i dir

Update - local file conflicts with remote directory:

  $ hg up -q 0

  $ mkdir a

  $ echo 9 > a/b

  $ hg up dir

  a/b: untracked file conflicts with directory

  abort: untracked files in working directory differ from files in requested revision

  [255]

  $ hg up dir --config merge.checkunknown=warn

  a/b: replacing untracked file

  1 files updated, 0 files merged, 0 files removed, 0 files unresolved

  (activating bookmark dir)

  $ cat a/b.orig

  9

  $ rm a/b.orig

Update - local symlink conflicts with remote directory:

  $ hg up -q 0

  $ mkdir a

#if symlink

  $ ln -s x a/b

#else

  $ touch a/b

#endif

  $ hg up dir

  a/b: untracked file conflicts with directory

  abort: untracked files in working directory differ from files in requested revision

  [255]

  $ hg up dir --config merge.checkunknown=warn

  a/b: replacing untracked file

  1 files updated, 0 files merged, 0 files removed, 0 files unresolved

  (activating bookmark dir)

#if symlink

  $ readlink.py a/b.orig

  a/b.orig -> x

#endif

  $ rm a/b.orig

Update - local directory conflicts with remote file

  $ hg up -q 0

  $ mkdir -p a/b/c

  $ echo 9 > a/b/c/d

  $ hg up file

  a/b: untracked directory conflicts with file

  abort: untracked files in working directory differ from files in requested revision

  [255]

  $ hg up file --config merge.checkunknown=warn

  a/b: replacing untracked files in directory

  1 files updated, 0 files merged, 0 files removed, 0 files unresolved

  (activating bookmark file)

  $ cat a/b

  1

  $ test -d a/b.orig

  $ rm -rf a/b.orig

Update - local directory conflicts with remote symlink

  $ hg up -q 0

  $ mkdir -p a/b/c

  $ echo 9 > a/b/c/d

  $ hg up link

  a/b: untracked directory conflicts with file

  abort: untracked files in working directory differ from files in requested revision

  [255]

  $ hg up link --config merge.checkunknown=warn

  a/b: replacing untracked files in directory

  1 files updated, 0 files merged, 0 files removed, 0 files unresolved

  (activating bookmark link)

#if symlink

  $ readlink.py a/b

  a/b -> c

#endif

  $ test -d a/b.orig

  $ rm -rf a/b.orig

Update - local renamed file conflicts with remote directory

  $ hg up -q 0

  $ hg mv base a

  $ hg status -C

  A a

    base

  R base

  $ hg up --check dir

  abort: uncommitted changes

  [255]

  $ hg up dir

  a: path conflict - a file or link has the same name as a directory

  the local file has been renamed to a~d20a80d4def3

  resolve manually then use 'hg resolve --mark a'

  1 files updated, 0 files merged, 0 files removed, 1 files unresolved

  use 'hg resolve' to retry unresolved file merges

  (activating bookmark dir)

  [1]

  $ hg status -C

  A a~d20a80d4def3

    base

  R base

  $ hg resolve --list

  P a

  $ hg up --clean -q 0

Update clean - local directory conflicts with changed remote file

  $ hg up -q file

  $ rm a/b

  $ mkdir a/b

  $ echo 9 > a/b/c

  $ hg up file2 --check --config merge.checkunknown=warn

  abort: uncommitted changes

  [255]

  $ hg up file2 --clean

  1 files updated, 0 files merged, 0 files removed, 0 files unresolved

  (activating bookmark file2)