First up, Good Job for CDPR for making a great game and support. I was on the fence about purchasing it but when I heard the DRM quashing patch, I immediately bought a retail copy. Luckily it's not a Steam version so I didn't have to endure the 9GB patch.

Now, the problem :

I've patched the game to Version 1.2 and started to experience some keyboard issues. It happened during intense story-based battles. The keyboard would suddenly stopped working except for the WASD and Esc keys. The mouse also lost the axis and keys control. The manual save option and quick save suddenly became available although it's not suppose to during a battle. Using that save won't even clear the problem. All I can do is run around. It first happened during the battle with wraiths in Melitele's Heart final quest phase. It happened again in the several last quests in Act1. The problem doesn't appear during chance encounters with monsters in the forest. It got worst when I started Act 2 : Roche's Path, Negotiations. Whenever the 2 big wraith knights appear, the controls are lost. It happened repeatedly in that particular level that I finally I looked for help.

I've read a post about this but no solutions were present. I've tried pressing some of the keys repeatedly and only ONCE I'm able to regain control. I'm unable to replicate that result since. I've changed some the key settings to fit my style. When I reverted back to default the problem seems to go away but it did go wrong one time. I'm already too frustrated to test it again so here I'm begging for anyone for help with this issue.

FYI : My PC has a Q6600 quad core, 4 gb ram, ATI HD5850, Win XP Pro 32bit. I'm using a Microsoft Sidewinder X6 keyboard and a Saitek RAT9 mouse.

Any solutions/suggestions/help to solve this problem is greatly appreciated.

I still get this rarely too.

I know of no fix.
To unlock, it usually is sufficient for me to hit Escape key. Sometimes taking damage is required.