Lag is a bit of a different animal than how the client deals with positional updates. SE literally cannot fix lag that is a result of the ISP or the player. So I can see why the thread was resolved the way it was. I see no mention of getting hit by AOEs after a person is out, which doesn't so much have to do with lag as it has to do with how the client is communicating (or not communicating) with the server.
People are going to lag, that's inevitable, and lag can mean a variety of thing. Disconnects, rubberbanding, stop and go movement. I'm not really expecting SE to fix those things, nor do those things seem to happen large scale anymore. The two are actually two separate issues. The one I'm speaking about is more akin to what is in the accepted bugs forum, however, as a mod has already informed us, all that means is they've gathered enough information to investigate at some point in time... sometime...maybe.
That thread can be found here: http://forum.square-enix.com/ffxiv/t...s-everybody%29