Run out is where the wood ends. We can hope that for strength and flexibility the wood will continue from end to end without ever being severed but because wood rarely ever goes entirely where we want it, inevitably it does get severed and the best we can do is try and keep as much intact as possible by selecting the wood carefully and being aware that impositions on the wood will in the long run end badly. Here is a piece with run out*. Another way of coming at it using yet more jargon is to say short grain. All of these really imprecise ways of trying to explain the incredible complexity of wood. The condition will not always end in failure and all failures are not because of run out.
It could be I am seeing things and since you are the one to have made the drawing of the handle there FourtyTwoBlades you can set me straight but to my eye there are a series of vague and shadowy squiggly lines at the curves, front and back as well as at the calked end of the grip, no? These are what I was referring to indicating places where the grain is short, the run out. You have clearly cheated in your attempt to test the handle, understandably, ( and I would post in a little yellow smiley-faced character but the option seems to be void just now) all the same why don't you really break it? My money is the break will not be a cross grain fracture but that it will fail along the grain - the short grain.
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