I guess I've been lucky. Grabbing the front arm in order to "clear the way" was a basic, like a jab or a front kick. One of the first things we learned. (I mean, like the first month). And if we were wearing a full gi top, closing fast and grabbing the arm(gi) above the elbow was also used to "rag doll" them. That's a push, pull, turn or check as you keep moving and pound, repeatedly, with your other hand. (sometimes followed with a sweep) As to the "turn" part I mentioned, you're always turning them to expose the back, as opposed to opening them up - where you'll likely get hammered. God, I've used too many times to remember. Ragdolling was always one of my favorite things to do.
The only times I couldn't use the arm grab, like the one shown in the original OP, was in kickboxing. I used to get called for a foul for it, every single time, so I stopped doing it. At least back then, don't know what the rules are now.