Same problem here after upgrading to Lucid. With Karmic everything
worked fine

Adding "compiz --replace" to the startup applications is a workaround
for me.

I found in my syslog this entry:

WARNING: Could not launch application
'109d0d348a728a08e125749194465008100000015400037.desktop': Unable to
start application: Failed to execute child process
"/usr/bin/compiz.real" (No such file or directory)

After the upgrade there is no file "compiz.real" in that directory any
more.

-- 
Must reenable desktop effects with every restart in ubuntu 10.04 lucid
https://bugs.launchpad.net/bugs/563161
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