If you have several instances of the same error code and description to be returned throughtout the API, I would recommend using the XML file as the error is documented once and maintained in a single place (e.g., timeout error). However, if the error code and explanation differ throughout the API (i.e., typically one instance per error), then using the approach is a good alternative. I guess if you want to maintain a single document with all your errors, you might want to use the XML approach. Again, the downside to the XML approach is one extra file to worry about for deployment.