I am trying to change style of cursor on element that has \'contenteditable\' attribute set to true in IE.
it depends on your DTD you have chossen. Seems you use default strict DTD.
Here is reference for possible declarations: look to 7.2 HTML version information.
I tried with:
<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.01 Transitional//EN">
and it works great, but it don't works with next declaration:
<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.01//EN" "http://www.w3.org/TR/html4/strict.dtd">
Hope it helpful and you can use that DTD without issues on another layouts.