Inside exposure VS outside exposure

I am hoping I am just overthinking this issue of inside exposure vs outside exposure and can have someone explain what inside vs outside exposure really means.  I understand this is referring to the structural integrity of a rated exterior bearing wall.  I believe it also has to do with allowing a non-symmetrical exterior wall system by potentially eliminating the rated membrane on the exterior depending on proximity to lot line.  IF this is true, how do you provide a rated assembly with the outside membrane missing?  Or do you simply not?

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