Hi tnzabo,
I had the same problem myself on a Latitude D410. The issue is a power saving option with the Intel graphics driver.
To fix the setting right click on the Desktop and select "Gaphics Properties". In the Intel GMA Driver window click on Display Settings then on the Power Settings button. In the Power Settings window uncheck Intel(R) Display Power Saving Technology then click OK.
Best to do the above steps while plugged into power otherwise you won't be able to read what you are doing.