For those interested, here is the blueprint for hardy which states that 
xorg.conf should no longer have a "serverlayout" entry by default. 
https://wiki.ubuntu.com/DesktopTeam/Specs/HardyHardwareDetection
So I guess displayconfig-gtk needs to cope with this.

-- 
*** Error: couldn't find any ServerLayout sections
https://bugs.launchpad.net/bugs/178061
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