Dell AW2310 text blocky when selecting 120hz...HELP PLEASE!

OK folks, I have a problem and need help. I just got a Dell Alienware AW2310 monitor. It does 120hz but when I select it and apply the change, the text on my desktop, windows, explorer, IE, etc all become so blocky and blurred i can't read it. I blew up the DPI to 200 so I could but that does me no good. I played with the True Type setting to no avail. How do I get 120hz going for normal computing? Do I have to switch it every time I play Crysis or any other game? Do I need to set up an automatic switchiong profile in the Nvidia COntrol Panel? Is this even possible? I read in other forums that this should work in game or not in game. I would like 120hz for streaming MLB and NFL games as well as Blu Ray movies I watch on my PC and the games of course. I was planning on getting the Nvidia 3D setup but until I get this issue resolved, it's on hold.

Here is my rig setup:
MSI Big Bang SLI mobo
i7 920 @ stock speeds ( I never OC CPU's)
6GB 12600 Ram (no big deal on this issue!)
Dual 9800 GX2's in quad SLI mode overclocked by 7.5% using EVGA Precision (nice! and MSI said the X58 chipset couldn't do it...morons)
Intel 2nd Generation 160GB SSD
LG BD-DVD-RW Drive
Xfi Fatality Exterme Gamer

My exp index is 6.9 with the 9800's being the slowest point.

Help me ObiWan (or some sh** like that) you're my only hope.