Well, here's the problem, you have ancient nvidia bits installed. 285
is incompatible with the Ubuntu Precise xserver.
DkmsStatus:
nvidia-current, 285.05.09, 3.0.0-12-generic, x86_64: installedError! Could not
locate dkms.conf file.
File: does not exist.
nvidia-current-updates, 280.13, 3.0.0-12-generic, x86_64: installed
I'm not sure why that didn't upgrade on its own, but the way to work
around this problem is to uninstall and apt-get purge nvidia*, and then
reinstall nvidia using jockey.
** Changed in: nvidia-graphics-drivers (Ubuntu)
Status: Incomplete => New
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https://bugs.launchpad.net/bugs/877438
Title:
[8xxx] Unity/compiz has sluggish performance on dual-head with nvidia
driver
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