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I saw a schematic for the "USB LiIon/LiPoly charger - v1.2" by Adafruit. The schematic is shown below.

After reading the data sheet I am uncertain if the MCP73833 Charge Management Controller chip is safe to use when connected to the USB, battery and system at once.

The only line in the data sheet mentioning system load that I could find was:

The TE input can be used to disable the timer when the charger is supplying current to charge the battery and power the system load.

This line indicates that it should be ok, but I feel this should be said more explicitly and not in one line that actually is about TE (timer enable) input.

So is this within the intended use of this chip?

Schematic: enter image description here

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I don't believe you are supposed to use it in this manner. Datasheets aren't necessarily the best place for application information. Instead look for application notes and reference designs on the manufacturer's website. These will give a good feel for the intended use.

In this case, there is an example of a reference design that has a switch that allows the input voltage to disconnect the load from the battery while simultaneously driving the load itself.

enter image description here

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