Comment 5 for bug 1012952

Never mind. Turned out my problem was that I have installed shutter at one point, even after removing it the keybinding persists. Here is the solution in case anyone encounters the same problem. http://askubuntu.com/questions/30701/keyboard-shortcuts-not-working-after-removing-shutter/42435#42435

Now everything works. Don't know if OP is having the same problem.