You probably need to use a dedicated graphics card. I had the same problem when i used my laptop’s integrated graphics. I went to the NVIDIA control panel and set the application “unity.exe” to use the High-performance NVIDIA processor.
However you choose to fix the problem, good luck. At least this is my experience and how i solved the problem you describe.
Why you try to install such an old version of unity? If you want to stay with 3.x because of your licence, at least install the last version (3.5.7) of this release, maybe this will fix the error as well.