Its kinda of like a stutter step smash but with a grab instead. During the turning animation if you hit grab at the right time it gets a dashing grab but with the normal grab animation while turning around. Its used to cancel the lag on Tether Grabs for the most part, though Sonic uses it too since he's fast enough to get away with running through someone.
My Creations in Modnation Racers! Check zhem!
http://community.modnation.com/en-us/players/IvoYaridovich/creations