This is an old thread, but I just came across it as I have the same problem 
after upgrading Lion and thought I'd add my solution. While I tried the 
steps from other contributors below, they did not work for me. I found that 
my hotkey (command shift) was bringing up the spotlight function. 
Essentially, my shortcut was already assigned to a specific function so 
quicksilver was not able to run with the same shortcut and thus would never 
open the program. Extremely frustrating. To get rid of spotlight coming up 
every time I entered command shift, I did the following:

1. Open system Preferences
2. Choose Keyboard
3. Choose Keyboard Shortcuts
4. Choose Spotlight
5. Uncheck "Show Spotlight Search Field"

And voila! Once I did that, the hotkey option I chose worked like a charm 
for opening quicksilver. I think if the other steps in this thread do not 
work, you just need to find the shortcut that may be duplicated in your 
computer preferences and either change that to make way for the one you 
chose for quicksilver.

I'm sure you've already resolved the issue on your end, but hopefully this 
will help others.

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