The good news: 10.7.3 did fix my previous dual screen issue.
The bad news: now right clicking doesn't work correctly. Here's what happens for me....
Open session to 10.7.3 system.
Hit the mouse click right button
Tap on file on desktop, expecting right click menu.
System acts like I did the mission control gesture
On my 10.4.11 system right click still works ok. I do not know if right click worked right on my system when it was running 10.7.2 since I had the dual monitor problem. when it was running 10.6.8 it worked properly.