Ok, so I know it's been a while since I was here, but I've changed to a NVidia 8800GT, and no problems so far.
Seems like Radeon doesn't support older games anymore, and if they'll fix this problem, remains a mystery.
I already know how to fix menu issues (a simple alt-tab works.) That or run it in a window
So, warning to everyone! Don't get a 3*** series if you plan on playing old games too!