The docs say:
Restricting and cascading deletes are the two most common options. RESTRICT prevents deletion of a referenced row. NO ACTION means that if any referencing rows still exist when the constraint is checked, an error is raised; this is the default behavior if you do not specify anything. (The essential difference between these two choices is that NO ACTION allows the check to be deferred until later in the transaction, whereas RESTRICT does not.) CASCADE specifies that when a referenced row is deleted, row(s) referencing it should be automatically deleted as well. There are two other options: SET NULL and SET DEFAULT. These cause the referencing column(s) in the referencing row(s) to be set to nulls or their default values, respectively, when the referenced row is deleted. Note that these do not excuse you from observing any constraints. For example, if an action specifies SET DEFAULT but the default value would not satisfy the foreign key constraint, the operation will fail.
But it isn't spelled out whether
on delete set null will fail if only one of the foreign key columns is nullable, or if it will merely set the nullable part to null, which is it?