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The rule is there to prevent collusion. 99 times out of 100, this rule is not used for collusion. It's used for information.

As was the case in this hand.

Also, it's very rude to ask to see the other person's hand HU when you have the nuts.

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Agreed, but I'll usually give somebody a pass once. If they do it again, I'm all for kicking them in the nuts or making their life miserable in some other way.