Oh you wonderful people! I just cut a little slit and the paper is indeed on the background side so it's not fused to the background. I think I'm going to try scoring as suggested here and removing the paper from a slit. If that doesn't work I'll remove all but the seam allowance and take it out that way. Then I'll fuse it to the batting when it's time to quilt. I want to fuse it on purpose rather than risk the owner ironing it for some strange reason and having it fuse wonky. It was done with a blanket stitch, but I'm really, really hoping I don't have to unsew the applique.