1) No. Without that cut there, you would not be able to cleanly eject live rounds. You'll see this on short guns. If you don't see it, walk away from it as may choke if you try to eject a live round. This is largely a Colt thing but you'll see it occasionally on other makes too.
I would bet the rough patches were someone left their fingerprint there and never cleaned it/wiped it off, and it corroded slightly as a result. It looks like it's stainless steel, which can corrode...just not as quickly or readily.
2) No. It's fine. You have one of the shortest 1911s that can be made to function. The frame rails could be gravel; it would still be flinging back and forth so quickly that you'd never notice. Frankly you don't want a tight lockup or tight frame/slide fit on a 3-3.5" 1911; you want reliability and you'll never be shooting it for match points at a 50 yard line.
I would bet the rough patches were someone left their fingerprint there and never cleaned it/wiped it off, and it corroded slightly as a result. It looks like it's stainless steel, which can corrode...just not as quickly or readily.
2) No. It's fine. You have one of the shortest 1911s that can be made to function. The frame rails could be gravel; it would still be flinging back and forth so quickly that you'd never notice. Frankly you don't want a tight lockup or tight frame/slide fit on a 3-3.5" 1911; you want reliability and you'll never be shooting it for match points at a 50 yard line.