Frank Liu wrote (in a message from Wednesday 2)
 > newly built xfree86 4.3:
 > 
 > when I run xterm, it gives:
 > Warning: could not change ownership of tty -- pty is insecure!
 > 
 > the terminal comes up fine but if I "exit", it won't go away.
 > it just hangs.
 > 
 > I tried with and without setuid-root, same problem.
 > 

This is the same as Bugzilla #66. 
A correct solution is needed for those systems. 
luit is not intended to be setuid. 

                                        Matthieu
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