Exactly the same problem here, I'm so glad I've found this post!
I've already sent a UserVoice and was about to re-install my OS, although I've
run to some complicated issues while formating an M1 mac and was fearful of doing it again just before the week starts.
I've attached a DisplayLinkInfo with the most detailed settings here that I was logging just before getting loged out after pluging in the screen.
I'm gonna try the proposed solution here and report back in a few minutes.