That last question seems simple to me. Incomplete moves are not part of the game. That is why they are not written on the score sheet. The last position of the game is not a dead draw, so the player loses. The rules are complete enough to give a clear answer for that example. There is no doubt that deadness does not apply to states between two moves.
I concur with my honorable colleague on that point!
Compare the following situation: a player removes enemy piece with intent to capture. There is only one legal move to capture that piece, and that move is a ceheckmate. Once the enemy piece is touched, there is no other legal move. But making the move also requires moving the capturing piece to new square (and releasing it). Suppose flag falls with captured piece removed but capturing piece in starting square.
I understand that a move interrupted by flag fall before making it is parsed by retracting it to the position before the move started, and the outcome evaluated from that position. Correct?
Not quite! There is a dead rule for anticipated draws but no victory rule for anticipated checkmates. The dead rule by itself is so silly, that I couldn't believe this was true at the time it was introduced. What they should have made right from the start was the one result rule. Quit the game when the outcome is sure whatever that outcome is.
The situation you describe is similar to the one we are discussing in this thread. We do not all agree on the outcome. My position is indeed like you describe.