I believe this is a duplicate of bug #990908 ('Won't honor "Do Nothing"
when Lid is Closed').  As described in that bug, the computer suspends
when the lid is closed even though you've selected "Do Nothing" in the
power preferences.

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https://bugs.launchpad.net/bugs/995840

Title:
  When laptop lid is closed screen locks even if it should not

Status in “gnome-power-manager” package in Ubuntu:
  Confirmed

Bug description:
  In power options the settings for When lid is closed are DO NOTHING
  both for on battery and on line power. But if I close the lid the
  computer locks.

  ProblemType: Bug
  DistroRelease: Ubuntu 12.04
  Package: powerman (not installed)
  ProcVersionSignature: Ubuntu 3.2.0-24.37-generic 3.2.14
  Uname: Linux 3.2.0-24-generic x86_64
  ApportVersion: 2.0.1-0ubuntu7
  Architecture: amd64
  Date: Mon May  7 11:39:04 2012
  InstallationMedia: Ubuntu 12.04 LTS "Precise Pangolin" - Release amd64 
(20120425)
  SourcePackage: powerman
  UpgradeStatus: No upgrade log present (probably fresh install)

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