When backing up, do we consider OoOS to have happened or not?
I've been reminded that this is still outstanding. When I seek insight from others on situations such as this, I often forget that I asked and am waiting for a response - and then these things just kind of fade into the background. Apologies, Isaac!
In your specific example, I think we just correct the player's misunderstanding, and their life total, and move along:
“Nope, it doesn't work like that - see where it says ‘another creature’? OK, fix your life total.”
I also had a hard time finding any examples that (a) would actually happen and (b) would actually matter. I don't mean to belittle the question - in fact, the general concept in question is an interesting one - but actual occurrences make it much easier to arrive at a guiding principle for us to follow.
The philosophy that allows us to consider Out-of-Order-Sequencing is, in short, if the end result is OK, and nothing was wrong along the way, then we don't care if the order wasn't technically correct.
Your question is, essentially, “what if something actually is wrong along the way?” - and I suspect that the best solution is to simply back up everything, to the point of the first chronological error. By “chronological” I'm saying the step in the sequence as it should have been sequenced, not as it actually was sequenced.
Again, I can't think of real-world examples that matter, so I'll be more generic:
I'm going to perform A-B-C-D-E, but I actually do A-C-E-B-D, and I commit a GRV during step B. We could easily just back up D and then B, but it's probably safer, as a general guiding principle, to back up D, B, E, and then C, since C and E should have come after B, and thus maybe can't or won't happen after we fix B.
Of course, when this actually occurs, I think using your best judgment will override that general guidance; it may be perfectly safe and sane to simply back up D and B in that example, let them fix B, and then maybe continue with D. Or it may be clear that C and D can't happen, and I no longer want E to happen if that's true, so…
d:^D