Yes, it is indeed the same as C5 and C6 and that is the problem. I have the latest firmware and Tools installed (V150 and V174). I have Cubase 7.
This issue has been discussed before, but to be more clear regarding the reversal of knob positions :
In Cubase the EQ controls are positioned thus (as you look at them) : Top : Gain, Middle : Frequency, Bottom : Q Factor. However, on the CC121, these controls are reversed, i.e. : Top : Q Factor, Middle : Frequency, Bottom : Gain.
This can be very confusing when using the CC121, and particularly so if you occasionally use both mouse and CC121! I had expected this to be fixed in the latest CC121 Tools, or at least configurable in C7.