I can confirm the freeze when switching back to X. But it disappeared
when upgrading to a newer -ati driver (which we should get in lucid
soon) or using xorg-edgers. I used KMS in all cases.

-- 
switching from running xserver to VT and back freezes system with black screen
https://bugs.launchpad.net/bugs/494672
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which is subscribed to xserver-xorg-video-ati in ubuntu.

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