diff --git a/internal/schema/parser.go b/internal/schema/parser.go
index 513a49808..3795d15b1 100644
--- a/internal/schema/parser.go
+++ b/internal/schema/parser.go
@@ -321,6 +321,12 @@ func (p *parser) parsePermissionExpressions(finalToken itemType, depth int) *ast
 
 		case item.Typ == itemOperatorAnd, item.Typ == itemOperatorOr:
 			p.next() // consume operator
+
+			// A nil root means that we saw a binary expression before the first
+			// expression.
+			if root == nil {
+				return nil
+			}
 			newRoot := &ast.SubjectSetRewrite{
 				Operation: setOperation(item.Typ),
 				Children:  []ast.Child{root},
@@ -491,7 +497,7 @@ func simplifyExpression(root *ast.SubjectSetRewrite) *ast.SubjectSetRewrite {
 	}
 	var newChildren []ast.Child
 	for _, child := range root.Children {
-		if ch, ok := child.(*ast.SubjectSetRewrite); ok && ch.Operation == root.Operation {
+		if ch, ok := child.(*ast.SubjectSetRewrite); ok && ch != nil && ch.Operation == root.Operation {
 			// merge child and root
 			simplifyExpression(ch)
 			newChildren = append(newChildren, ch.Children...)
diff --git a/internal/schema/parser_test.go b/internal/schema/parser_test.go
index 56c0b6645..40ee9fe3f 100644
--- a/internal/schema/parser_test.go
+++ b/internal/schema/parser_test.go
@@ -47,6 +47,13 @@ var parserErrorTestCases = []struct{ name, input string }{
 		this.related.siblings.traverse(s => s.permits.edit(ctx)),
 	}
   }
+`},
+	{"parser error", `
+class Resource implements Namespace {
+  permits = {
+    update: (ctx: Context) => ||
+      this.related.annotators.traverse((role) => role.related.member.includes(ctx.subject)) ||
+      this.related.supervisors.traverse((role) => role.related.member.includes(ctx.subject)),
 `},
 }