*** This bug is a duplicate of bug 25931 ***
    https://bugs.launchpad.net/bugs/25931

The following worked for me. I was getting the message when the desktop
loaded and it only happened when I switched to autologin. I didn't have
any other symptoms except the actual error dialog but the following
fixed it. Heres a quote from a post on the forums located here ->
http://ubuntuforums.org/showthread.php?p=3545464

BEGIN QUOTE
okay after reading the above mentioned bug report it would appear that Dbus 
needs to start before Hal and GDM last. so the oder would be

Dbus-->Hal-->GDM

With a fresh install of Gutsy I looked in the "/etc/rc2.d/" folder and found
S12Dbus
S12hal
S30GDM

So I renamed S12hal with

'sudo mv /etc/rc2.d/S12hal /etc/rc2.d/S13hal'

Then I did a

Sudo Reboot

Also I have an Nvidia 8800GTX card so at the grub menu I hit Escape and
edited the startup line at the end where it said "splash" to "nosplash".

Now everything is fine!
END QUOTE

-- 
[gutsy] Failed to initialize HAL
https://bugs.launchpad.net/bugs/144044
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