Ha ha, great story. I mean, no, it's a bug. But I found it interesting for my own reason. I don't know how the code works, as far as events and journal are concerned, but I think it's not the only instance of triggers/flags/booleans not working properly.
On a different note : did anyone understand why Minthara decided that Sazza deserved death ? From what I remember it sounded like "if the Absolute had True Souls in the Druid Grove, it was surely for a reason, you shouldn't have messed with these plans, you lowly goblin". But I didn't find it very convincing. Because these True Souls, that is to say us, are perfectly capable of carrying whatever mission we were carrying and not get sidetracked by a goblin.