Per NEC 314.21Repairing Plaster and Drywall or Plasterboard.
Plaster, drywall, or plasterboard surfaces that are broken or incomplete shall be repaired so there will be no gaps or spaces greater than 3mm (1/8") at the edge of the box or fitting.

OK, then, does anyone ever enforce this? There are plates made with the express purpose of covering oversize cuts. (Ironically, I've even seen them advertized as such in the IAEI magazine).
What do you think?...S