Have a DELL2408 in portrait mode and same problem after upgrading to 10.7.3.
Tried all the suggestions in this forum but nothing works. Have uninstalled the driver and now waiting for someone to release an update or suggest a workaround.
Pretty gutted as I literally just bought my DisplayLink less than a week ago and have been loving the experience of having two additional monitors attached to my mid 2010 27" iMac.
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