I got little time lately, but I just looked into it and it's quite easy to fix. Your Example still won't work, because Pidgin-LaTeX operates in Latex' mathmode. So to get your example to work try
$$\text{\"{o}}$$ (which will not work either yet).
This Bug will be fixes in the next version of pidgin-latex, coming soon.
Thank you for your submission
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I got little time lately, but I just looked into it and it's quite easy to fix. Your Example still won't work, because Pidgin-LaTeX operates in Latex' mathmode. So to get your example to work try
$$\text{\"{o}}$$ (which will not work either yet).
This Bug will be fixes in the next version of pidgin-latex, coming soon.
Thank you for your submission
This issue should be fixed in the current version 1.5.0. Please check it out and let me now, if there are still any problems with that.