E1200 odd roque DHCP server problem

My local network connected to AT&T Uverse has both len and wiress connections.  with some devices specified in the DHCP reservations list.  all has worked fine for a while now. the UVerse modems do not support DHCP reservation configurations.
last weekend, one of my Linux machines (in the DHCP reservation list) suddenly changed its address from 192.168.2.34 (dhcp server at 192.168.2.1 as confgured) to 192.168.1.105 (dhcp server at 192.168.1.251). I couldn't find the second DHCP server, and eventually put iptables on my linux box to drop packets from that server and get back up and running..  spent sat/sunday fixing this.
Monday it happened again!.. even tho the iptables was still set to drop the packets!.. I found a dhcp roque utility for windows and started isolating parts of my network til I was down to two machines.. one windows and the E1200.
I ended up using the admin UI on the E1200 to restore the router to default and reconfigure back to operation, and the rogue DHCP server is gone!... I did NOT try to power off/on the router.  
I do not know how this happened. Altho the E1200 was in the UVerse modem DMZ (so I could get DDNS to work) , I changed the userid and password, did not have wireless admin access or Wan admin acces enabled. It seems 'unlikely' that the router had been hacked, but I have no other explanation unless there is a pretty serious firmware bug. I have found other reports of similar behavior on other vendors routers, which seem to be caused by a loss of the wan link AND having DHCP reservation machines.
I have not tried to recreate the scenario. any ideas welcomed.

config
ATT Pace modem, DHCP on, wireless on, address range 192.168.1.2- 192.168.1.40, dhcp server at 192.1.1
ethernet cable from ATT modem to 1200 'wan' port.
1200 DCHP on, base address 192.168.2.1, dhcp range 192.168.2.2-192.168.2.200, wireless on
out of E1200
ethernet to local machine
ethernet to Insteon automation hub
ethernet to 4 port ethernet switch on other side of room
   switch to local windows machine (dhcp reservation address 192.168.2.106)
   switch to back of Dlink 1522 Access point, providing wireless to TV, Blueray player and roku box, access point address 192.168.2.5 in E1200 DHCP reservations list. DHCP off on 1522
      back of dlink (4 port switch) ethernet to linux machine. 2 ft away.
      back of dlink (4 port switch) to NAS storage device.
Brother multi-function laser configured fixed address Wirless to 1200 (192.168.2.195), need wireless for tablet/iphone/ipad print support.
so we have 1 ethernet network, and 3 wifi networks. (all 2.4mhz)
(my dauther and son-in-law here as they move back to local area from Chicago, have connectivity issues with wireless on 1200, due to house walls, not so much on UVerse modem.  1522 dedicated to entertainment systems.
Only the ethernet connected Linux box experienced this dhcp problem.
the roque dhcp server was at 192.168.1.251, and provided ip address 192.168.1.105
note that AT&T DHCP is 192.168.1.255

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    Internet  192.0.2.199             0   d8eb.97a6.30a4  ARPA   Vlan1
    Internet  192.0.2.196             0   f0de.f1f1.1e06  ARPA   Vlan1
    Internet  192.0.2.203             0   e89a.8f77.016f  ARPA   Vlan1
    Internet  192.0.2.207             4   d0c7.89d6.3ba3  ARPA   Vlan1
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    http://blogs.technet.com/b/kevinholman/archive/2013/09/25/migrating-dhcp-services-to-2012-r2-and-configuring-scope-failover.aspx
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    Brandon Macinnis wrote:
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