Using a locale and font configuration that works fine for dwm and dmenu (LANG=en_US.UTF-8, font=-*-terminus-medium-r-*-*-14-*-*-*-*-*-iso8859-1) I have found some encoding issues in the titles shown by tabbed (both for embedded surf and urxvt instances) when they include latin1 characters above the basic ascii set. Comparing dwm.c and tabbed.c side by side I managed to identify the cause of the different behaviors, which was the use of _NET_WM_NAME atom when calling gettextprop. I don't really pretend to understand what's happening here in any depth but the fix worked for me.
Best regards -- Carlos
tabbed-r175-wmnameatom.diff
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