ERROR vsmagent: Unhandled XMLRPC exception:

I’ve had a look here, and it looks like this might occur if there is a conflict with a local X server. That should not normally happen, though, as ThinLinc starts at display 10, and local servers at display 0.

Has ThinLinc been reconfigured from the defaults on this system?

And could you check what local X servers are running when this happens?