Occurs during anal sex. Either with a man and women or two men. The man thrusting his penis into the anus gets a suprise of fecal matter on his penis. It looks like chili on a hot dog (penis), thus it is a chili dog.
"dude- I was raw doggin' it with this chick who just started her rag when we were doin' it, so when I pulled out and went to nut in her mouth, I ended up giving her a chili dog!"
When a chick is sucking a man's cock, he pushes HARD down on the back of her head causing her to gag and vomit on his manhood. She then slurps and sucks the chili-looking vomit off his DOG.
This drunk bitch had too many burritos for dinner, so when she choked while suckin' my 15-inchmissile she ended up chili doggin' me.
When a man proceeds to engage in sexual intercourse (of the anal variety) with a woman or another man and while performing this act the man or woman defecates on the mans penis. The defecating man or woman then proceeds to eat the feces of of the mans penis, similar to that of eating the chili off of a chili dog. The penis is the hotdog, the buns are the buttocks of the recieving man or woman, and the feces are the chili.
Frankssaid his penis smelled like shit for three days after sally gave him the "chili dog."