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+# **02 OR Functionality**
+
+## **Overview**
+This update introduces the **OR Functionality** to the `prompt_parser`, enabling users to generate diverse outputs by using the `|` operator. The OR logic ensures that only one of the elements within the group is selected for each generation, adding controlled randomness to prompt design.
+
+### **Features Added**
+1. **OR Operator `|`**:
+   - Randomly selects one element from the provided options.
+   - Example: `mountain|lake|forest` will generate an image featuring either a mountain, a lake, or a forest.
+
+2. **Nested OR Logic**:
+   - Supports OR functionality within nested groups.
+   - Example: `{lake, {mountain|forest}}` allows structured combinations of fixed and random elements.
+
+---
+
+## **Syntax Examples**
+
+### **1. Basic OR**
+- **Input**: `mountain|lake|forest`
+- **Behavior**: Randomly selects one of the elements to feature in the output.
+
+### **2. Nested OR**
+- **Input**: `{lake, {mountain|forest}}`
+- **Behavior**: Combines "lake" with a random selection of either "mountain" or "forest" for more dynamic compositions.
+
+---
+
+## **Example Prompts and Results**
+
+### **Example 1: Basic OR**
+**Prompt**: `mountain|lake|forest`
+- **Expected Result**: An image featuring either a mountain, a lake, or a forest as the primary focus.
+
+### **Example 2: Nested OR**
+**Prompt**: `{lake, {mountain|forest}}`
+- **Expected Result**: An image featuring a lake with a secondary focus on either a mountain or a forest.
+
+---
+
+## **Example Images**
+Images generated for the examples above are stored in the `example_images/02_or_functionality` folder.
+
+---
+
+## **Known Limitations**
+1. **Predictability**:
+   - The randomness introduced by the OR logic may result in repeated selections during multiple generations.
+2. **Nested Complexity**:
+   - Nested OR logic can produce unexpected combinations if not carefully designed.
+
+---
+
+## **How It Works**
+The `prompt_parser.py` file has been updated to:
+1. **Parse OR Prompts**:
+   - Resolves prompts containing the `|` operator by randomly selecting one of the options.
+   - Example: `mountain|lake|forest` resolves to one element based on random selection.
+
+2. **Integration**:
+   - OR logic integrates seamlessly with other functionalities (e.g., grouping and nesting).
+
+---
+
+## **Folder Structure**
+All files for this update are stored in the `02_or_functionality` folder:
+- `prompt_parser.py`: Updated parser with OR logic.
+- `example_images/`: Contains images for each example prompt.