I've seen these cables used between Starters and Motor Junction Boxes due to flexibility of DLO. It?s always sized correctly and installers like it over THHN, again for flexibility.
We ran into an issue the other day removing an old installation of DLO, it doesn?t slide through conduit very well, especially if it?s been in there a while. We blew some lube in one end of the run and once the cable broke loose, it came right out.