Same problem Linux 2.6.31-14-generic  / Ubuntu Karmic 
This suggestion does not change anythig on this issue for me
ifconfig wlan0 up
iwconfig wlan0 rate 54M fixed (I have alos tried lower rates)
The only way to restore the network is to reset the wifi with the following 
command
sudo modprobe -r iwl3945 && sudo modprobe iwl3945
Interresting details
- slow downs only happend on heavy loads (rates > 200 kB/s) on upload or upload
- when I stream my audio output to my ISP set top box I have a lot of sound 
glitch even if the ping is very low (3 to 8 ms). It works perfectly with wired 
connection.
Finally the wifi connection do the job for the web BUT it's not reliable for 
any local networking

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iwl3945 slow down after some time to 100kbps, unload/load module return speed 
to 1.5mbps
https://bugs.launchpad.net/bugs/340418
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