That's not the only thing that needs to be patched. Playing on Xbox Live in Ranked mode you ALWAYS fight in Scorpions Lair, it sees it as a tournament and Scorpions Lair is the first level in the rotation. Since you only fight one match before finding a new opponent you're always fighting in scorpions lair.
The only way around this is to enter a VS code but good luck trying to convince someone to enter a code, most likely they'll think you're trying to do something bad to them.
It plays perfect online though, completely lag free and arcade mode is exactly like the UMK3 arcade machine I have sitting in my game room.
I noticed you couldn't change the controlls and I didn't give it much thought but that really sucks for using a joystick, particularly the Hori stick which has it's buttons in a weird layout.