If you have an application with multiple subdomains and don't want session cookies to be shared among them, or worse - have a top-level .domain session cookie with the same session_key floating around alongside your subdomain session cookie (Rails will keep one and toss the other - I believe simply based on the order in the request header) - you can use the dispatcher hooks to force the session cookie to subdomains.
Include the hook in ActionController from an extension.
base.send :after_dispatch, :force_session_cookies_to_subdomains
Set the domain this in your after_ dispatch hook.
@env['rack.session.options'] = @env['rack.session.options'].merge(:domain => 'my_sub_domain' end)
For us, we look at the @env[HTTP_HOST] to determine what [my_sub_domain] should be.
With this approach, the user's login must occur at the subdomain for the browser to accept the subdomain'ed cookie (unless using a pattern like the Authlogic Params to propagate to the next request against the subdomain).
Note: The browser will reject the subdomain'ed cookie when the request comes from the higher level domain. For us, this isn't a bad thing - it results in the same outcome that we require, that a top level session cookie doesn't get created and later sent to subdomains.
Another approach to a similar end might be to force a cookie to not be set when not from a subdomain. Not spending much time on it, the way I was able to accomplish this was -
request.env["rack.session"] = ActionController::Session::AbstractStore::SessionHash.new(self, request.env)
in an after filter in ApplicationController.