Just a minor frustration with the tournaments:
When inviting users to a tournament there's no error message when the invite is not successful. I've had this occur for two different reasons -- the first being that I miskeyed the user-name and the user I tried to invite doesn't exist, and the second being that the user I tried to invite is not accepting invitations. Not only can I not tell which case has occurred, the only way I can determine that the invite was not successful is by viewing the "Manage Players" screen and noticing that they have not been added to the list of invitees. You should get immediate feedback indicating success or failure, and should get a reason when the invite was unsuccessful. Even better would be to force the selection of users to be from a searchable list of only those users accepting invites so that an invite would always be successful.
I find chat an unneeded feature for Live chess, with too much potential for abuse. The general chat is mindless banter. Chatting with an opponent is also superfluous for me because I'm so absorbed in trying to make my move that I ignore seemingly polite conversation. If I want to chat and play chess at the same time, I will use the turn based interface. I would just like a few buttons in Live Chess saying "Good move!" "Drat! I think I made a mistake" and "Thanks for the game". I basically don't want to hear anything else either. There are better channels for messaging and other chess servers available that cater to a mindless melee of chatter. Why waste engineering manpower on unneeded chat. You'll spend double the effort enabling mechanisms for users to filter out what they don't need in the first place.
This is a perfect example of why I don't need chat with blitz. I make a simple observation about a problem with the software and someone takes it the wrong way,