The word "or" is being tossed around, and that's where he is confused and I fully agree to the confusion. Basically the statement as is, says that you can break out after 5 mins. It doesn't state you ALSO have to be alone. That's why using "or" is so confusing because only one of the two conditions have to be met. So technically, per MOTD, you can break out the instant you are left alone. If you have been cuffed for 5 minutes, you can break out. Regardless of being accompanied.
However, this isn't correct as you will get in trouble. You have to have been alone, AND 5 minutes must have elapsed before you can breakout without consequences.
Also, breaking out with people around is 100% pointless because they can just FearRP you again then cuff, restarting the timer. This is why people say "you're always under fearRP when cuffed."
Basically, the rule needs to get re-written, or everyone needs a wake up call that the rule has not been being followed as intended.
TL;DR SMT should clear this up.