@mons source should have been rejected because it was not the source I cut from and that source was too small?

Look at it another way. The person which was requested has had a cut produced of him and therefore the request (not necessarily the image) was completed.

Once a game-ready image is marked as completed all pending sources are automatically converted to completed as well, to avoid people inadvertently working on images or people which have been cut since they were requested. Otherwise, the only other way to change their status is manually and individually, which at 200+ per day is a fair bit much to do 😉