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yup, solved, just had to re-download and install catalyst control center/drivers ... this is what i get for trusting software that tells me my drivers are "up to date" ...

same graphical issue, except i don't get the critical error. tried messing with just about everything under the hood i could think of on my end as well. pentium i5 2.8ghz ATI radeon 5700 8gig windows 7 home 64