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Our's has the exact same problem - fails to print duplex - prints out 1st page followed by a blank 2nd page. It also began failing to print color until we reinstalled a different driver. Fix the color issue - but duplex printing prints out 1st page, and blank 2nd page.
We've reinstalled the latest drivers - in fact, tried different drivers available on Xerox's web site - Ensured that 'All The Boxes Are Checked' for 2 Sided. Result: No Solution. Occurs in Word, WordPerfect ......... Very Frustrating.
When you put in the driver properties a page type = heavyweight or more, it wont duplex anymore... maybe you have configured an option like that.?
Is it maybe possible to post some screeshots of your print settings?
My 8560MFP has stopped duplex printing even though Config page shows 2-Sided Printing:Long Page. Plus, when printing .pdf or Word docs, it spits out a blank page after each job.