Litespeed/Merlin has had some problems with their integrated headset. I think this is why they are making the move back to conventional headsets for 2006.

As with any headset, the bearing seats must be perfectly parallel or the fork will bind and/or develop slop with use. The only solution is to face the frame properly. Those frames use a pressed in aluminum bearing seats which are serviceable. Unfortunately, the only way to fix them is to send the frame back to the factory where they can face the inserts properly – or press in new ones.

Hope this info helps.

Ed