There seems to be one more condition required and that is that you have unchecked Disable Script Debugging in advanced settings in IE. By default this is checked and no script error occurs in the page it only logs this in the developer tools script console. If script debugging is enabled it then the error will be shown in the page but otherwise it will not.
To me this looks like a minor bug in jquery that really should have no impact on ordinary users. I do not feel that I need to spend time trying to solve this and I feel that the real solution must be made by the jquery developers, the fix for normal users is to disable script debugging.
If it was a real script error it would show the error even with script debugging disabled.
As I found the error is not logged using the older versions of jquery and jquery ui, that is more evidence that this is a minor jquery bug, so an alternate solution is to use the older versions of jquery.