This happened to me after upgrading to natty pre-release.  I fixed it by 
launching Nautilus, enabling the side pane (View -> Side Pane), right-clicking 
the second "Ubuntu One" entry in the places list and choosing Remove.
Seems like the update preserved the old entry thinking it was a user 
customization, then added a new entry for itself.

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https://bugs.launchpad.net/bugs/690908

Title:
  "Ubuntu One" appears twice in places side pane

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