I know about the issue with sprags and LBA or not, relating to shock, freewheel at 2X the RPM and taking apart the drum. There are plenty examples out there. My question is, does it seem this is predominately an issue w/ slicks and racing?

Back in the day, we used to do burnouts all the time in 1st, pedal the car on and off the throttle with street tires and I never once heard of a 727 coming apart on the street back then. Granted HP/TQ was not what it is now for a healthy 440 like now.

Just trying to get a better understanding if this is just a slicks/track issue as I've always started burnouts in 1st. The reason I'm asking, I now have a fairly quick 440 and guess at the very least I should add a blanket to the trans. But I have no plans to run slicks.

Its due to roller spit back and shock load. The ORC has rollers and waffle springs. Spit back comes from when the rollers get locked then unlocked then locked again - think wheel hop. Slicks will compound the problem since you load the ORC more each time after it is unlocked - then you either spin the ORC cam in the case or you cock the rollers then things go to Haiti after that.
When I started with Chrysler I authorized ALL the transmission replacements for the U.S. - and cop cars (especially NY cop cars) broke the ORC with regularity. And they didn't have slicks on them. They had manual low block out - that prevented manual low band apply even though the cops thought they had them in low gear.
Came from two basic events - running across railroad tracks deep throttle (wheel hop)while in first gear auto, and neutral drops.