I know this is an old topic, but yesterday I reinstalled KOTOR 2 to play it again, patched it and had this exact same issue almost right out the gate. When I click on a enemy to attack, the controls lock. After saving and reloading, I can move once more, but it happens again next fight. It does not occur after the fight, but when you click on someone to attack (you can click on other enemies to attack and you will move to do so, but WASD controls, or anything to substitute for them, just don't function). It is incredibly aggrivating considering it used to work fine on this system before I upgraded it (most likely the issue). I think it may be the graphics card, as the program that checks the system reqs gave it a yellow light. Perhaps the card's architecture is so new the game doesn't know how to work with it? I also think it may have something to do with the last patch of the game, but that seems much less likely. I reinstalled Direct X and the graphics drivers and neither did anything to help the problem. I've tried reloading from another, differently named save of the same game (a remedy posted on another forum) and that did nothing. I am still on Peragus and am so frustrated with the issue I care not to continue to a point where I can pick up an extra party member to swap between (and thus try that remedy).
I noted the above request for system specs, so here:
OS: Windows XP 32 Bit, Service Pack 2
Processor: Intel Core 2 6600 @ 2.4 Ghz
Memory: 2.00 GB
Graphics Card: XFX PVT84GUDF3 GeForce 8600 GTS 256MB 128-bit
Direct X: 9.0c
If anyone who can solve this problem needs any more help beyond that, you have but to ask. I love this game, and really want to go through it again, but I refuse to do so with this issue in play.
Thanks.