No Sound After Removing Headphone

I've had my phone for around 8 months with little to no issues (ok there's things that would be nice to have, but for the most part it does what I want). This morning I had the original headset plugged in watching a movie and all was well. I removed the headset while the movie was still playing and noticed I had no audio from the phone speaker. Speaker icon in top right corner had an x by it. I could click on it to remove x but when I pressed the volume up the x would reappear. Ok so no audio from movies...then I tried a phone call and again no audio (oh oh - this is big problem). I tried power off/on, then reset phone and remove battery approaches - again no sound. I plugged headset in and there is audio in headset. When I removed, i was able to get my audio back to speaker. Good that it's all working now, however, I'm afraid to use my headset now. It's potentially one of two things; 1) either the headset jack is now flaky (I realy haven't used it that much) and the contacts get stuck so the phone thinks the headset is attached or 2) a software glith of some sort.

Anybody else have this experience or thoughts on this?