Just wanted to add that I'm having the same problem. Did the upgrade from Karmic to Lucid, keyboard and mouse lock up whenever I either click on my user name or highlight the name and hit enter.
I was able to boot into rescue mode. I chose repair packages and let the OS do it's thing. Then I selected resume normal boot, entered username and password and "startx" and the mouse and keyboard worked.
The I couldn't get on to the Internet. NIC seemed to be working, status showed eth0 connected. IF config showed NIC was working, but trying to ping the router was unsuccessful.
Anyway, when I rebooted I had the same lock up of the mouse and keyboard as before.
Asus Mobo
P4 @ 3Ghz
4Gb ram
Dual boot into XP.
I suppose I'll have to try a full install from scratch, or revert to Karmic if the Gurus are unable to find a fix.
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