I've rewritten your code a little bit, just to figure out what you're doing. This seems to work for me, unless I didn't understand what the problem is that you're describing. The buttons react to hover as well as click events. Aside from writing the things you're doing differently, there's no substantial change in the code.
I suppose there's a chance that Val was right in that there may be other elements overlaying your buttons. You haven't shown us your CSS, so it's hard to tell what's going on on your side.
<html>
<head>
<script type="text/javascript" src="http://ajax.googleapis.com/ajax/libs/jquery/1.4.2/jquery.min.js"></script>
<style>
.bold, .italic, .underline{ width: 50px; height: 20px; background: green; margin: 10px; }
</style>
</head>
<body>
<textarea class="demo">
</textarea>
<script type="text/javascript">
jQuery(
function($)
{
(function($){
//Constructor to make a new editor.
function TEditor(element, opts)
{
//Load in the element.
this.$element = $(element);
this.opts = opts;
//Let the browser know the object is ready.
this.enabled = true;
}
//The actual editor class.
TEditor.prototype = {
display: function()
{
var
$editor = this.$element.wrap('<div class="editor" />').parent(),
$b = $('<div class="button-wrapper" />').appendTo($editor);
this.$element.css({height:this.opts.height,width:this.opts.width});
//Load up each button.
$.each(this.opts.buttons.split(' '), function(i, button)
{
//If its an empty string keep going.
if(button == '') return true;
//Generate a button.
$('<div class="' + button.toLowerCase() + '" />')
.data('buttonName', button)
.appendTo($b)
.click(clicked)
.hover(hover, hover);
});
},
enable: function()
{
this.enabled = true;
},
disable: function()
{
this.enabled = false;
},
validate: function()
{
if(!this.$element[0].parentNode)
{
this.destroy();
this.$element = null;
this.options = null;
}
}
}
//JQuery function extension.
$.fn.teditor = function(options)
{
options = $.extend({}, $.fn.teditor.defaults, options);
//On load create a new editor.
function get(ele)
{
var editor = $.data(ele, 'editor');
if(!editor)
{
editor = new TEditor(ele, options);
editor.display();
$.data(ele, 'editor', editor);
}
return editor;
}
//Initialize.
this.each(function(){get(this);})
return this;
};
$.fn.teditor.defaults = {
buttons: 'Bold Italic Underline',
height: '150px',
width: '500px'
};
function clicked(e)
{
alert(e);
}
function hover(e)
{
console.log('hover');
}
})(jQuery);
$('.demo').teditor();
}
);
</script>
</body>
</html>