Well maybe this should be a different bug as it is clearly not xml 1.1 related as the linue in the xml gives away :-)

<?xml version="1.0"?>

To repeat the bug ... using the webERP demo data

#!/usr/bin/env python

import xmlrpclib

x_server = xmlrpclib.Server('http://www.weberp.org/weberp/api/api_xml-rpc.php',verbose=True)
#Get the stock items defined in the demo webERP installation
StockList = x_server.weberp.xmlrpc_SearchStockItems('discontinued','0','admin','weberp')

if StockList[0]==0:
	for StockID in StockList[1]:
		print str(StockID)

The webERP xml-rpc server uses XMLRPC for PHP http://phpxmlrpc.sourceforge.net/