Are you on Hardy or Gutsy?
Does this still happen on KDE 4.0.3?
Thank you for your report.
( Might be releated to bug 204752 )
** Changed in: kdebase-workspace (Ubuntu)
Importance: Undecided => Low
Status: New => Incomplete
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[KDE 4] plasma logout action does nothing
https://bugs.launchpad.net/bugs/199185
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