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I have been ripping and encoding away with HB, 0.8.5b1. No real problems until a certain DVD, whose main title was just over 3 hours in length. The process got all the way through, and then silently crashed during the muxing. File size? 4Gb. (Well, reported as 4.07Gb).
I think there is a specific svn commit that fixed this issue but was reverted because it broke iPod compatibility. The devs are definitely looking at this issue.