Green’s Dictionary of Slang

(US black) to challenge to a fight; thus imper. choose out! let’s fight!; also as n.

1934		(con. 1870s) E. Cunningham Triggernometry (1957) 58: A roaring big canvasman of the John Robinson show ‘chose’ Wes at Horn HiIl [...] He ‘slapped leather’ with the canvasman and left him dead.
1935		(con. late 1920s) L. Hughes Little Ham Act I: I don’t duel, I duke, and I’ll choose you out.
1956		R. Ellison ‘A Coupla Scalped Indians’ in King Black Short Story Anthol. (1972) 268: He’s choosing ’em [...] offering to fight ’em.
1967		W. Crawford Gresham’s War 162: You chose us out: now do something with us [HDAS].
1971		L. Bangs Psychotic Reactions (1988) 53: All right, punk. This is it. Choose ya out. We’re gonna settle this right here.
1980		E. Folb Runnin’ Down Some Lines 104: Vernacular terms that define the act of fighting itself (to go down, to gunzle, to choose off, to box, to tussle).
1984		J. Ellroy Because the Night 155: Lloyd Hopkins, six foot one and a hundred and eighty pounds, began the series of mano a mano choose-off's.