I\'m using RVM, Ruby 1.9.2, and Rails 3.0.7
A standard kill of the process from another terminal doesn\'t work, either, but kill -9 does, of course.
I found
I ran into this problem myself. I am using rvm rails 3.0.9 and ubuntu 11.04 32bit running unity. I found that terminator will pass the Ctrl+c to rails.