App store tries to update an app that doesn't need updating

I have an iPhone 4 running iOS 5.0.1. For the last week or so whenever I try to update apps using the app store's "Update All" button I get an error saying:
Schwab Mobile and 1 other app cannot be purchased.
After which point the Schwab app is grayed out with a "Loading" bar on it. The weird thing is that Schwab is already up to date, the version I have installed is 2.1.1.1 which according to the app store is the latest. Also the app is not in the list of apps that the app store wants to update. The app will become unusable while in this state since it never actually loads. The only way out of it is to do a hard reset of the iphone using the home and sleep buttons. The next time I try to update any app on the phone the same thing happens again. I should add that all other updates complete just fine, they load and install and come back for use.
I've tried deleting and re-installing the Schwab app (which it can do just fine). I've also tried syncing the phone with my mac, nothing seems to help. It's mildly annoying to have to do a hard-reset after every time I update any app in order to get something I frequently use like Schwab back.
Any ideas what's up and how to fix it? I don't know how to make the app store realize that it doesn't need to be purchased or updated or whatever.
Thanks for any help!

Could you turn on automatic downloads on your phone and then trigger the download in iTunes?

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App store tries to update an app that doesn't need updating

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