A similar (but not quite the same) situation here.
I have 2 DELL 19" monitors, one via mini-DVI->DVI and the other via DisplayLink (a Kensington Dock with Video), connected to a MacBook (late 2006) running 10.6.1.
Today (10/15) I came in, plugged in all the cables, and the monitors both came up and then my MacBook went back to sleep. Tapping on the USB keyboard woke up the machine again, but the DisplayLink monitor had colored lines on it (no buzzing sound). Normally I would have just unplugged and replugged but instead I used the tip provided by the OP, and brought up System Preferences->Displays. Both displays were running at 1280x1024 (their normal resolution). Changing the resolution on the DisplayLink monitor to something else and then switching back resolved the issue, and the DisplayLink monitor is perfectly happy now.
Attached is the contents of /Library/Application Support/DisplayLink.
Any word on the next beta drop?
Thank you!
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