Dark Vision to be is when out at night after a heavy snow.
There are no shadows just shades of gray.
I can see under the tree even though the moon is out.
If there is bright light in front of me, I lose that view.
Turn my back to the light I can see just fine, after the 30 seconds for eyes to adjust.
The overlap does not really matter. It is the LOS.
If there is a torch 120 feet away, I can see it fine, if I have LOS.
It will not mess with Dark Vision as it is not bright enough from my view.
Players normally get little use out of DV, as someone in the party needs a light source.
So I let them get what they can, they "paid" for that useful ability.
If there is a setup where the overlap would cause issues, Minor -2, Major Disadvantage.
But only if it is a glaring issue or matters to the story.
Say trying to look past the flaming timbers, in a burning building. To see into the dark room ahead, I would have be Major.
As the player is using sight, Dark Vision, hearing, and gut to try and tell if the demon is setting an ambush.
A Disadvantage Roll but still possible.
Anytime you penalize use on players using abilities your telling the player not to take that one.
Sometimes as a GM you have to do that as a rule is a bit over reaching, Dark Vision IMHO is not the place to do it.
But that is the great thing about D&D you and yours can play it they way you like, as can I.