Nohup does not work in OSX

Running it in a screen session should work just fine.

Interesting. Seems like an issue specific to the default Terminal app. Because for what it's worth, iTerm2 doesn't exhibit this behavior. (so in other words, nohup is not actually broken on OS X; this just seems like special behavior in Terminal which looks for subprocesses on exit.)

In many ways, iTerm2 it's better than the default terminal. You should give it a try!

I tried this on Snow Leopard, and the dialog popped up and complained that it was going to kill sleep, but when I checked via ps -eaf sleep was still running.

bill$ ps -eaf | grep sleep
  501 11806     1   0   0:00.00 ??         0:00.01 sleep 1000
  501 11811  2628   0   0:00.00 ttys001    0:00.00 grep sleep