It looks like he's written a strdup() function to operate on an existing pointer, probably to re-allocate it to a new size and then fill its contents. Likely, he's doing this to re-use the same pointer in a loop where *string is going to change frequently while preventing a leak on every subsequent call to strdup().
I'd probably implement that like string = redup(&string, "new contents") .. but that's just me.
Edit:
Here's a snip of my 'redup' function which might be doing something similar to what you posted, just in a different way:
int redup(char **s1, const char *s2)
{
size_t len, size;
if (s2 == NULL)
return -1;
len = strlen(s2);
size = len + 1;
*s1 = realloc(*s1, size);
if (*s1 == NULL)
return -1;
memset(*s1, 0, size);
memcpy(*s1, s2, len);
return len;
}
Of course, I should probably save a copy of *s1 and restore it if realloc() fails, but I didn't need to get that paranoid.