In the 2.6.32-19 kernel a patch went it to disable lid switch usage for all gpus of both i915 generation 2 and 3 [1]. Please test this kernel out to see if it fixes your issue.
Thanks
[1] http://kernel.ubuntu.com/git?p=ubuntu/ubuntu-lucid.git;a=commitdiff;h=02cf17d29ec2b659b7e058318721a1ad980d9b99;hp=2410233263bd7ccd4bd13b15e98f298684171ba1
In the 2.6.32-19 kernel a patch went it to disable lid switch usage for all gpus of both i915 generation 2 and 3 [1]. Please test this kernel out to see if it fixes your issue.
Thanks
[1] http:// kernel. ubuntu. com/git? p=ubuntu/ ubuntu- lucid.git; a=commitdiff; h=02cf17d29ec2b 659b7e058318721 a1ad980d9b99; hp=2410233263bd 7ccd4bd13b15e98 f298684171ba1