The problem is that the "inner" string is not marked as html_safe. In your 
link_to tag, this string is not considered html_safe:

    link_to(*rights.controller + " » " + rights.action*, :controller 
=> "rights", :action => "edit", :id => rights.id)

Colin's suggestion, which is the solution, is to mark the inner string as 
html_safe. The easiest way to do this is to use the #{} notation instead of 
string concatenation:

    link_to(*"#{rights.controller} » #{rights.action}".html_safe*, 
:controller => "rights", :action => "edit", :id => rights.id)

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