Gist to submit to the Bundler issue tracker. Problems with Bundler after updating from version 1.0.22 to 1.30.

gistfile1.txt

What I'm trying to accomplish:
- Updating Bundler version from 1.0.22 to 1.3.0 so it's compatible with Rails 4,
and then updating to Rails 4.0.0.beta1

Command I ran:
- gem update bundler (successfully installed bundler 1.3.0)
- bundle update rails (to 4.0.0.beta1 in gemfile)

What I expected to happen:
- For the rails gem to be updated

What actually happened:
- Throws an exception for attempting to update any gem at all

Exception backtrace:

C:\Sites\rails_projects\ruby_socks>bundle update rails
        Unfortunately, a fatal error has occurred. Please see the Bundler
        troubleshooting documentation at http://bit.ly/bundler-issues. Thanks!
C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundler/vendor/net/
http/persistent/ssl_reuse.rb:70:in `connect': SSL_connect returned=1 errno=0 state=SSLv3 r
ead server certificate B: certificate verify failed (OpenSSL::SSL::SSLError)
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/net/http/persistent/ssl_reuse.rb:70:in `block in connect'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/1.9.1/timeout.rb:54:in `timeout'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/1.9.1/timeout.rb:99:in `timeout'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/net/http/persistent/ssl_reuse.rb:70:in `connect'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/1.9.1/net/http.rb:755:in `do_start'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/1.9.1/net/http.rb:750:in `start'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/net/http/persistent.rb:628:in `start'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/net/http/persistent.rb:570:in `connection_for'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/net/http/persistent.rb:930:in `request'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/fetcher.rb:195:in `fetch'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/fetcher.rb:169:in `use_api'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/source/rubygems.rb:223:in `block in remote_specs'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/source/rubygems.rb:223:in `select'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/source/rubygems.rb:223:in `remote_specs'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/source/rubygems.rb:162:in `fetch_specs'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/source/rubygems.rb:66:in `specs'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/definition.rb:192:in `block (2 levels) in index'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/definition.rb:189:in `each'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/definition.rb:189:in `block in index'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/index.rb:9:in `build'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/definition.rb:185:in `index'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/definition.rb:179:in `resolve'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/definition.rb:114:in `specs'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/definition.rb:109:in `resolve_remotely!'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/installer.rb:83:in `run'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/installer.rb:14:in `install'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/cli.rb:315:in `update'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/thor/task.rb:27:in `run'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/thor/invocation.rb:120:in `invoke_task'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/thor.rb:344:in `dispatch'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/vendor/thor/base.rb:434:in `start'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/bin/bundle
:20:in `block in <top (required)>'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/lib/bundle
r/friendly_errors.rb:4:in `with_friendly_errors'
        from C:/RailsInstaller/Ruby1.9.3/lib/ruby/gems/1.9.1/gems/bundler-1.3.0/bin/bundle
:20:in `<top (required)>'
        from C:/RailsInstaller/Ruby1.9.3/bin/bundle:19:in `load'
        from C:/RailsInstaller/Ruby1.9.3/bin/bundle:19:in `<main>'

Output of bundle env:

Bundler 1.3.0
Ruby 1.9.3 (2012-02-16 patchlevel 125) [i386-mingw32]
Rubygems 1.8.16
GEM_HOME


Gemfile
source 'https://rubygems.org'

gem 'rails',                    '3.2.12'
gem 'bootstrap-sass',   '2.1'
gem 'figaro',                   '0.5.0'
gem 'will_paginate',    '3.0.0'
gem 'thin',                     '1.5.0'
gem 'bcrypt-ruby',              '3.0.1'

# Bundle edge Rails instead:
# gem 'rails', :git => 'git://github.com/rails/rails.git'

group :production do
        gem 'pg',       '0.12.2'
        gem 'thin', '1.5.0'
end

group :development, :test do
        gem 'sqlite3',          '1.3.5'
        gem 'rspec-rails',  '2.11.0'
        gem 'factory_girl_rails', '4.1.0'
        gem 'guard-rspec',      '0.7.0'
end

# Gems used only for assets and not required
# in production environments by default.
group :assets do
  gem 'sass-rails',   '3.2.5'
  gem 'coffee-rails', '3.2.2'

  # See https://github.com/sstephenson/execjs#readme for more supported runtimes
  # gem 'therubyracer'

  gem 'uglifier', '1.2.3'
end

group :test do
        gem 'capybara', '1.1.2'
end

gem 'jquery-rails', '2.0.2'
gem 'dynamic_form', '1.1.4'

# To use ActiveModel has_secure_password
# gem 'bcrypt-ruby', '~> 3.0.0'

# To use Jbuilder templates for JSON
# gem 'jbuilder'

# Use unicorn as the web server
# gem 'unicorn'

# Deploy with Capistrano
# gem 'capistrano'

# To use debugger
# gem 'ruby-debug19', :require => 'ruby-debug'


Gemfile.lock
GEM
  remote: https://rubygems.org/
  specs:
    actionmailer (3.2.12)
      actionpack (= 3.2.12)
      mail (~> 2.4.4)
    actionpack (3.2.12)
      activemodel (= 3.2.12)
      activesupport (= 3.2.12)
      builder (~> 3.0.0)
      erubis (~> 2.7.0)
      journey (~> 1.0.4)
      rack (~> 1.4.5)
      rack-cache (~> 1.2)
      rack-test (~> 0.6.1)
      sprockets (~> 2.2.1)
    activemodel (3.2.12)
      activesupport (= 3.2.12)
      builder (~> 3.0.0)
    activerecord (3.2.12)
      activemodel (= 3.2.12)
      activesupport (= 3.2.12)
      arel (~> 3.0.2)
      tzinfo (~> 0.3.29)
    activeresource (3.2.12)
      activemodel (= 3.2.12)
      activesupport (= 3.2.12)
    activesupport (3.2.12)
      i18n (~> 0.6)
      multi_json (~> 1.0)
    addressable (2.3.2)
    arel (3.0.2)
    bcrypt-ruby (3.0.1-x86-mingw32)
    bootstrap-sass (2.1.0.0)
    builder (3.0.4)
    capybara (1.1.2)
      mime-types (>= 1.16)
      nokogiri (>= 1.3.3)
      rack (>= 1.0.0)
      rack-test (>= 0.5.4)
      selenium-webdriver (~> 2.0)
      xpath (~> 0.1.4)
    childprocess (0.3.6)
      ffi (~> 1.0, >= 1.0.6)
    coderay (1.0.8)
    coffee-rails (3.2.2)
      coffee-script (>= 2.2.0)
      railties (~> 3.2.0)
    coffee-script (2.2.0)
      coffee-script-source
      execjs
    coffee-script-source (1.4.0)
    daemons (1.1.9)
    diff-lcs (1.1.3)
    dynamic_form (1.1.4)
    erubis (2.7.0)
    eventmachine (1.0.0-x86-mingw32)
    execjs (1.4.0)
      multi_json (~> 1.0)
    factory_girl (4.1.0)
      activesupport (>= 3.0.0)
    factory_girl_rails (4.1.0)
      factory_girl (~> 4.1.0)
      railties (>= 3.0.0)
    ffi (1.3.1-x86-mingw32)
    figaro (0.5.0)
      rails (~> 3.0)
    guard (1.5.4)
      listen (>= 0.4.2)
      lumberjack (>= 1.0.2)
      pry (>= 0.9.10)
      thor (>= 0.14.6)
    guard-rspec (0.7.0)
      guard (>= 0.10.0)
    hike (1.2.1)
    i18n (0.6.1)
    journey (1.0.4)
    jquery-rails (2.0.2)
      railties (>= 3.2.0, < 5.0)
      thor (~> 0.14)
    json (1.7.7)
    libwebsocket (0.1.7.1)
      addressable
      websocket
    listen (0.5.3)
    lumberjack (1.0.2)
    mail (2.4.4)
      i18n (>= 0.4.0)
      mime-types (~> 1.16)
      treetop (~> 1.4.8)
    method_source (0.8.1)
    mime-types (1.21)
    multi_json (1.6.1)
    nokogiri (1.5.6-x86-mingw32)
    pg (0.12.2-x86-mingw32)
    polyglot (0.3.3)
    pry (0.9.10-x86-mingw32)
      coderay (~> 1.0.5)
      method_source (~> 0.8)
      slop (~> 3.3.1)
      win32console (~> 1.3)
    rack (1.4.5)
    rack-cache (1.2)
      rack (>= 0.4)
    rack-ssl (1.3.3)
      rack
    rack-test (0.6.2)
      rack (>= 1.0)
    rails (3.2.12)
      actionmailer (= 3.2.12)
      actionpack (= 3.2.12)
      activerecord (= 3.2.12)
      activeresource (= 3.2.12)
      activesupport (= 3.2.12)
      bundler (~> 1.0)
      railties (= 3.2.12)
    railties (3.2.12)
      actionpack (= 3.2.12)
      activesupport (= 3.2.12)
      rack-ssl (~> 1.3.2)
      rake (>= 0.8.7)
      rdoc (~> 3.4)
      thor (>= 0.14.6, < 2.0)
    rake (10.0.3)
    rdoc (3.12.1)
      json (~> 1.4)
    rspec (2.11.0)
      rspec-core (~> 2.11.0)
      rspec-expectations (~> 2.11.0)
      rspec-mocks (~> 2.11.0)
    rspec-core (2.11.1)
    rspec-expectations (2.11.3)
      diff-lcs (~> 1.1.3)
    rspec-mocks (2.11.3)
    rspec-rails (2.11.0)
      actionpack (>= 3.0)
      activesupport (>= 3.0)
      railties (>= 3.0)
      rspec (~> 2.11.0)
    rubyzip (0.9.9)
    sass (3.2.5)
    sass-rails (3.2.5)
      railties (~> 3.2.0)
      sass (>= 3.1.10)
      tilt (~> 1.3)
    selenium-webdriver (2.27.2)
      childprocess (>= 0.2.5)
      libwebsocket (~> 0.1.3)
      multi_json (~> 1.0)
      rubyzip
    slop (3.3.3)
    sprockets (2.2.2)
      hike (~> 1.2)
      multi_json (~> 1.0)
      rack (~> 1.0)
      tilt (~> 1.1, != 1.3.0)
    sqlite3 (1.3.5-x86-mingw32)
    thin (1.5.0)
      daemons (>= 1.0.9)
      eventmachine (>= 0.12.6)
      rack (>= 1.0.0)
    thor (0.17.0)
    tilt (1.3.3)
    treetop (1.4.12)
      polyglot
      polyglot (>= 0.3.1)
    tzinfo (0.3.35)
    uglifier (1.2.3)
      execjs (>= 0.3.0)
      multi_json (>= 1.0.2)
    websocket (1.0.6)
    will_paginate (3.0.0)
    win32console (1.3.2-x86-mingw32)
    xpath (0.1.4)
      nokogiri (~> 1.3)

PLATFORMS
  x86-mingw32

DEPENDENCIES
  bcrypt-ruby (= 3.0.1)
  bootstrap-sass (= 2.1)
  capybara (= 1.1.2)
  coffee-rails (= 3.2.2)
  dynamic_form (= 1.1.4)
  factory_girl_rails (= 4.1.0)
  figaro (= 0.5.0)
  guard-rspec (= 0.7.0)
  jquery-rails (= 2.0.2)
  pg (= 0.12.2)
  rails (= 3.2.12)
  rspec-rails (= 2.11.0)
  sass-rails (= 3.2.5)
  sqlite3 (= 1.3.5)
  thin (= 1.5.0)
  uglifier (= 1.2.3)
  will_paginate (= 3.0.0)