hotspot and dns issue

Hi to all,
I have some strange issue with hotspot and dns, and it reflect itself only on Iphone and Ubuntu(14.04).
On android and windows hotspot works.
So, the problem is that client that is connected to hotspot can not resolve its local ip. For example, dns name is hotspot1.local, ping looks like this:

user@chrubuntu:~$ ping hotspot1.local
ping: unknown host hotspot1.local
user@chrubuntu:~$

DHCP gives ok dns and other settings:

user@chrubuntu:~$ nmcli dev list iface wlan0 | grep IP4
IP4.ADDRESS[1]:                         ip = 10.40.3.254/22, gw = 10.40.0.1
IP4.DNS[1]:                             10.40.0.1
IP4.DNS[2]:                             8.8.8.8

after I manually add hotspot1.local to /etc/hosts, then it works ok…

Hotspot setup is simple, created with wizard…
Anyone have any idea?

I see one of your DNS servers received is Google’s DNS server… but that DNS server wouldn’t be able to resolve hotspot1.local.

Perhaps what’s happening is simply that Ubuntu and iPhone for some reason prefer Google’s DNS server.

The solution would be to simply not give out Google’s DNS over DHCP.

Nope, still the same problem…
I will try to create new hotspot from the start…
it seems that mikrotik redirects dns querys to 64872…
and maybe ubuntu has problem resolving from that port…

I think I found a problem…it seems that there is a problem with mikrotik implementation of Avahi (Bonjour) http://en.wikipedia.org/wiki/Avahi_(software)
I will try to send Mikrotik a bug report…

Workaround is to put in server profiles ip address as dns name…