Apple :: Mac Trackpad

I have a Unibody MacBook (Spring 2008) and i'm having some major difficulties with this trackpad. It seems to have a huge problem "hanging onto" items I want to move. I have simply given up on trying to drag anything to where I want it. Take for example in Mail, I'll try to move a message from one folder to another and i'll click on the message and it randomly release it into different folder. It will only sometimes "pick" up the message and when it does it randomly "drops" the messege where ever the mouse is. This also happens with windows, it'll sometime take me 5-6 tries to move a window from one side of my screen to the other because the trackpad it will simply not grab the window to move it, and when it does it just "drops" the window a few centimeters from where I grabbed it. And highlighting text is completely impossible since it requires some form of precision.

Now this is not user error as what it might seem from the rather large trackpad. I have tried every conceivable option, from moving my hands completely off the computer while I try to do things with my trackpad.

Does this seem like a hardware issue or a software issue, and does this mean I need to get it checked out by an Apple store.