I found out the problem, at least for me. I was running quantal kernel with old precise xorg.
Upgrading to LTS raring kernel and LTS raring xserver solved the problem. I think upgrading to LTS quantal xserver would have been worked as well.
I had a few hicckups while running precise xorg over quantal kernel on other places as well. (It was not that frequent though)
I found out the problem, at least for me. I was running quantal kernel with old precise xorg.
Upgrading to LTS raring kernel and LTS raring xserver solved the problem. I think upgrading to LTS quantal xserver would have been worked as well.
I had a few hicckups while running precise xorg over quantal kernel on other places as well. (It was not that frequent though)