Looks like Joomla 3.1.4 broke lots of things for people, including various templates and extensions, not just from RocketTheme either. Perhaps that is why they don't recommend any STS (Short Term Support) version for production/live sites.
Just restore your backup and stay where you were until they sort the bugs out.
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thank you for the details. this is a new bug with j3.1.x.
we will have a fix for this soon hopefully, until then i have changed the setting which causes this problem and your template settings are working fine again.
in the template manager options i have disabled the setting to 'preview module positions'