I currently have Faye working with my Rails 3.0.9 application. However I have two separate tabs open in my terminal. One for the Faye server, and one for the Rails server. H
On Ubuntu, you should use the operating systems's init system - Upstart.
user@host:~$ cat /etc/init/faye.conf
description "Faye Upstart script"
start on startup
stop on shutdown
respawn
script
env RAILS_ENV=production
exec sudo -u deployuser -i /home/deployuser/.rbenv/versions/1.9.2-p290/lib/ruby/gems/1.9.1/bin/rackup /var/www/booko.com.au/booko/faye.ru -s thin -E production
end script
I'm not happy with the method of calling Ruby since it will change. But the advantages are that it will start when the system starts and it will respawn if it dies or you KILL it.
Let Upstart take care of demonising a process and making sure it keeps running.