Thank you for the full log!
Took me a while, but I finally got the same effect
Round 1", – [1]
Squawk dealt 150 damage to your Iron Starlette.“, – [2]
Attack Reduction to your Iron Starlette.”, – [3]
Wind-Up applied Wind-Up to your Iron Starlette.“, – [4]
Round 2”, – [5]
Lift-Off applied Flying to enemy Piqua.“, – [6]
Supercharge applied Supercharged to your Iron Starlette.”, – [7]
Round 3", – [8]
Lift-Off dealt 380 damage to your Iron Starlette.“, – [9]
Flying fades from enemy Piqua.”, – [10]
Wind-Up fades from your Iron Starlette.“, – [11]
Wind-Up dealt 1705 damage to enemy Piqua.”, – [12]
Enemy Piqua died.“, – [13]
Supercharged fades from your Iron Starlette.”, – [14]
Flying fades from enemy Piqua.“, – [15]
Round 3”, – [16]
Lapin is now enemy active pet.“, – [17]
Round 4”, – [18]
Adrenaline Rush dealt 150 damage to your Iron Starlette.“, – [19]
Adrenaline Rush applied Adrenaline to enemy Lapin.”, – [20]
Toxic Smoke dealt 216 damage to enemy Lapin.“, – [21]
Toxic Smoke applied Toxic Smoke to enemy team.”, – [22]
Toxic Smoke dealt 67 damage to enemy Lapin.“, – [23]
Attack Reduction fades from your Iron Starlette.”, – [24]
Round 5", – [25]
Burrow applied Underground to enemy Lapin.“, – [26]
Wind-Up applied Wind-Up to your Iron Starlette.”, – [27]
Toxic Smoke dealt 99 damage to enemy Lapin.“, – [28]
Round 6”, – [29]
Burrow dealt 519 damage to your Iron Starlette.“, – [30]
Underground fades from enemy Lapin.”, – [31]
Toxic Smoke dealt 99 damage to enemy Lapin.“, – [32]
Toxic Smoke fades from enemy team.”, – [33]
Round 7", – [34]
Flurry dealt 150 damage to your Iron Starlette.“, – [35]
Flurry dealt 150 damage to your Iron Starlette.”, – [36]
Your Iron Starlette died.“, – [37]
Adrenaline fades from enemy Lapin.”, – [38]
Round 7", – [39]
Pandaren Air Spirit is now your active pet.", – [40]
In your case, the damage pattern was
150+501+150+413+150 = 1364 and then the final hit was 150, exceeding the Starlette’s 1400
In my case, the damage pattern was
150+380+150+519+150 = 1349 and then the final hit was 150, exceeding the Starlette’s 1400
No debuffs. No magic numbers, like being brought exactly to zero by spme specific hit. No end-round damage weirdness, but in both your case and mine, the starlette was brought to zero and did not Failsafe by the second hit of Flurry.
In none of my other tests was my Starlette brought to zero by the second hit of Flurry.
Would need a larger sample of tests to be sure, but I suspect that’s the bug - something like “test for Failsafe after final hit”, but Flurry then goes on to second hit. Similar to previously excavated inconsistencies when something is killed by an end-of-round damage.