I think KotOR 2 did a good job informing the player of the game world without resorting to amnesia, by having a multitude of descriptive dialogue choices. Even if the player doesn't pick the line that says "Atris you fucking bitch, your gloating tone reminds me of the day you exiled me from the Jedi Order", they still learn something about the world by just reading it.
KotOR 2 is the avatar of how not to do dialogue. Repeatedly it gives you choices that you're not informed enough to make, because your character knows a bunch of shit that you the player don't.
Kotor 2 is weird. I recently finished it and noticed that you have to have played this game multiple times to really *get* the game. The protagonist- Meetra if you prefer, legitimately knows shit the player doesn't and the correct path through the game is one where Meetra speaks like she knows what she's talking about.
Alternatively, you can choose expository dialogues, but it's clear the narrative can't reconcile this. It's cool having expositoon as dialogue options, but actually choosing them is immersion breaking and only serves to clutter the conversation window on repeat playthroughs
The overwhelming bulk of dialogue options are just expository in nature. It's not that good either, it's stuff like, "Jack? You mean the Jack that did this long-winded important thing? That jack?"
