Open the Keyboard "Layout application", select the "Layouts" tab and click the "Options" button. A list of rebinding options will appear. Expand "Caps Lock key behavior" and select "Caps Lock is disabled".
Source: http://askubuntu.com/questions/53038/how-do-i-remap-the-caps-lock-key (Search for "In Ubuntu 11.10+")
Works, but causes a gnome-control-center error in Ubuntu 12.04 LTS. Sent in the crash report. Also causes lose of keyboard input in Flash game Realm of the Mad God.
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