using an older thinkpad x40 and karmic and having this same problem.  it
seems Alessandro Arrichiello is correct and now i've got things working
with compiz.  the trick seems to be you have to settle for lowering the
resolution so that neither width nor height sums to < 2048.

for example this won't work (except if screens stacked vertically):

vga1: 1024x768
lvds1: 1024x768

this will work no matter how screens are positioned:

vga1: 1024x768
lvds1: 800x600

i did not use the script above, i just made settings in
System->Preferences->Display that followed the < 2048 rule.

excuse me while i revel in my dual screen awesome. :-)

-- 
karmic gnome-display-properties hangs for external monitor mode 1280x1024
https://bugs.launchpad.net/bugs/445100
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