The sections of the head can move around and you can even insert and withdraw the staple from the head with too much manipulation of the head.
I think David Daye (you just can’t leave him alone, huh?) may have used a couple of different reed designs, but without seeing the entire head, it is impossible to tell which design this is. There are generally two designs of reeds, but from the posted pix, I can’t see the taper, so I don’t know if it is a “square” or “tapered” reed design.
Personally, if the reed were mine, I would untie the head and examine the edges of the slips to see if there is any “garbage” left from the wax attempt. If so remove it.
The side leak can be approached two different ways, according to the design.
Generally, the square design works best for tuning the Es of the O’Flynn family of concert Rowsome chanters, but have the problem of the sides opening with weather changes. I recommend using Elmer’s glue for the side seal, myself, as I prefer this design because I don’t have to “goose” the E into tune as nearly as much.
The lip opening adjustment is easier on square reeds, because you can have a movable bridle. From the marks on the head, I suspect this to be a square design.
If you prefer the tapered design, (better side seal, worse tuned Es), sand down the taper so that the sides of the reed head edge aren’t parallel, but taper slightly, increasingly more towards the tail. This makes the sides easier to keep sealed with changes in weather/humidity.
When the bridle is added to the tapered design, the reed taper prevents it from being slid up and down, so you have to use fingers/pliers to manipulate the bridle to open/close the lips.
Choose your method of repair of the reed.
Examine the area near the lips and make sure it isn’t rough and remove any extra “stuff” that might be on the head.
Use clear tape or some waxed thread and wrap the lip end of the head for a distance long enough to hold the head edges together properly, insert the staple the proper distance and re-tie the reed. Add bridle, check for leaks, adjust lip opening and try.
I only see one thing that might be of concern:
Also the lips aren’t perfectly symetrical - meaning the radius of curvature is greater on one side than the other (one side is flatter).
I have one reed like this that plays OK, but I don’t trust it. Slipping heads on the staple can also cause this because the blades aren’t aligned.
If the two sides of the head aren’t very similar in cane/thickness/scrape, it can cause this problem, but when I examined Paddy Keennan’s reed when I saw him in concert in Charlotte, NC a couple of years ago, his lips looked like a D. 
He sounded great except his bass drone (second time he played his new drones in public) needed some wrapping on the tenon as it would slide flat when he moved around.
Mess with it some and see if you can’t revive it.