Wow, that is ridiculous. Did Lybrel work at all before this started happening - i.e., did it work for a few months, and then stop? I've heard that it can cause some breakthrough bleeding/spotting, but not bleeding every day! Sheesh, that *****. It's really new, and though it's FDA approved, I was skeptical when I heard about it.
I'd go back to your doc... Don't give up, there is probably a pill out there that can make your periods more manageable.