This is a fantastic example of the die transfer, as eric mentioned. You'll more often hear this referred to as "ghosting" of the dies. It is quite common on Lincolns (although this is an extreme example). Roosies, Victorian Shillings, and many other coins exhibit this effect. To determine a ghosted versus a clashed coin: ghosted coins will more often have subtle outlines, with smooth edges and soft "outlines" of the other side's image. A clashed coin will more often have a sharp, crisp image. This is a generality, of course, but may aid in determining the cause.
Poor quality control in the heat-treating process. Keep in mind the quantity of dies being produced for a given striking year; they had to have put a bunch of them in the oven at once for each treatment. Local hot/cold areas in the oven, perhaps, or minor variances in the alloy of the steel of the individual die leading to a weak die. Half a percent of carbon content is the difference between steel you can strike coins with, and steel which can be struck as a coin.
The 1924S issues are some of the poorest Lincolns ever produced. Working dies were being made in Philly - and they failed to produce near enough - so SanFran overused their dies to maintain production. Denver had problems as well. This coin is a fine example: