Try going into your Control Panel, double click on the Display Icon and then click on the Appearance Tab. Near the bottom right of the box, click on the Effects... button and Uncheck or check your preferences there then choose ok, then apply then ok to exit the menu box. Hope this helps!
Teddy
----- Bryan wrote: -----
Thanks for the suggestions, made no difference, even when I am dragging a window across the screen I get the shadow. I also notice it when I open the start button and am highighting the differnce options, you can see the shadow to the right.