If both directories D1 and D2 already exists, and further there is a
filesystem entity D2/D1, "git mv D1 D2" would fail, and we get an
error message that says:
"cannot move directory over file, source=D1, destination=D2/D1"
regardless of the type of existing "D2/D1". If it is a file, the
message is correct, but if it is a directory, it is not (we could
make the D2/D1 directory a union of its original contents and what
was in D1/, but that is not what we do).
The code that decies to issue the error message only checks for
existence of "D2/D1" and does not care what kind of thing sits at
the path.