We have been having issues lately with CRM due to sql blocking. After doing some digging, I ran across this article. It mentions the AX product, rather than just regular CRM, but Im curious if this applies or not?
http://blogs.msdn.com/b/axsupport/archive/2011/09/22/severe-sql-locking-and-blocking-on-dynamics-ax.aspx?Redirected=true
In our case, this setting is off...so if this applies, it might explain why the constant blocking that comes up during even moderate load