Never heard that term but sounds like an obstruction to me....

Same here; I have never heard that term. It sounds like an obstruction with possible paralytic ileus (i.e. waiting for function to return). A dysfunctional ileostomy, at least to me, would imply some sort of structural problem preventing it from working, and would seem like a very different and potentially more long term problem. Can you ask the surgeon for clarification so you know exactly what you are dealing with?