Thanks Emmanuel for the link. I think I found what I was looking for at this link
http://forum.hibernate.org/viewtopic.ph ... ght=unique
I think I will stick with the option "1" as I don't want to put business logic to check for duplication or otherwise. I guess I should let that be handled best by the database.
BTW, I have been going through the Hibernate documentation and I have to give kudos to the Hibernate team for coming up with such an extensive documentation, a hard thing to come by in open source.
Thanks
Shishir