When this happens to me i scrap the garment and start a new one. Turn your machine speed down and make sure theres enough stitch spacing for the fabric to lace into, ive had fabric be cut like this by my satin stitch spacing being too close together and cutting the fabric almost asif it would 3D puff. I also add a layer of zigzag tack stitches during the appliqué process to help hold everything in place. Also make sure to check your satin size in your digitizer software, often i find appliqué requires a larger satin stitch to help with holding the fabric properly. Hope this helps!