I found a glitch. So I died during Lancer's battle because my mercys kept missing, and the death screen music played, but then suddenly stopped before showing me this corrupted environment. It looks cool honestly, but I can't get out of it without closing the game. Other than dying to Lancer I'm not sure what I did to cause this. I'm using snes9x
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I think that might be something akin to EarthBound’s infamous Shattered Man Glitch. It’s an engine issue caused by dying while status effects are turned off. If it IS like the Shattered Man Glitch, the room should still be fully loaded and you might be able to just leave, although the cutscene might mess things up.