Something I am also noticing (recently - thought this was ok before), when 2 clients are on together, they do not appear to be getting "normal" movement updates. For instance, when I see a player running passed me, it's more like a 1 second jerk where their arms nor legs move, they just sorta scoot along.
Pretty sure I saw my 2 toons moving properly before, but maybe not. Since 2 clients used to crash so much, maybe I am wishful thinking.
edit: changed post title to reflect LE knows about this already - intentional

Yah, I disabled the fluid movement updates when the net code was causing crashes left and right. I'll reenable it again when I have time.

Fluid Motion back in rev 75ish. Vertical (jumping) motion still a little choppy.

I think this should be disabled for now, it just adds to the packet load and overhead. We don't need perfect animations generically right now.