diff --git a/README.md b/README.md
--- a/README.md
+++ b/README.md
@@ -28,6 +28,19 @@
 Changelog
 ---------
 
+0.3.3.0:
+
+* Format Fay compile errors using Fay's builtin (doesn't break on apostrophes)
+* Only treat compile errors as Success in development mode (for in browser error reporting)
+* Fixes a bug where error strings would be encoded twice
+* Requires fay 0.18
+* Update example for fay-jquery 0.4
+* Upper bounds for dependencies
+
+0.3.2.0:
+
+* Expose Snap.Snaplet.Fay.Internal
+
 0.3.1.1.:
 
 * Hackage version now includes the example application
diff --git a/example/example.cabal b/example/example.cabal
--- a/example/example.cabal
+++ b/example/example.cabal
@@ -24,18 +24,19 @@
     , aeson >= 0.6
     , bytestring >= 0.9
     , fay
-    , fay-jquery
-    , heist >= 0.8
-    , lens >= 3.7
+    , fay-text == 0.2.*
+    , fay-jquery == 0.4.*
+    , heist >= 0.8 && < 0.14
+    , lens >= 3.7 && < 3.11
     , mtl >= 2
     , snap >= 0.9
     , snap-core >= 0.9
-    , snap-loader-static >= 0.9
-    , snap-server >= 0.9
-    , snaplet-fay >= 0.3.1.1
-    , text >= 0.11
+    , snap-loader-static == 0.9.*
+    , snap-server == 0.9.*
+    , snaplet-fay == 0.3.3
+    , text == 0.11.*
     , time >= 1.1 && < 1.5
-    , xmlhtml >= 0.1
+    , xmlhtml >= 0.1 && < 0.3
 
   if flag(development)
     build-depends:
diff --git a/example/snaplets/fay/devel.cfg b/example/snaplets/fay/devel.cfg
--- a/example/snaplets/fay/devel.cfg
+++ b/example/snaplets/fay/devel.cfg
@@ -22,4 +22,4 @@
 # This gives the same result as using includeDirs,
 # except Fay figures out the paths for you.
 # Default is "" meaning no other Fay packages will be used.
-packages = "fay-jquery"
+packages = "fay-text,fay-jquery"
diff --git a/example/snaplets/fay/src/Application/SharedTypes.hs b/example/snaplets/fay/src/Application/SharedTypes.hs
--- a/example/snaplets/fay/src/Application/SharedTypes.hs
+++ b/example/snaplets/fay/src/Application/SharedTypes.hs
@@ -1,24 +1,25 @@
+{-# LANGUAGE CPP                #-}
 {-# LANGUAGE DeriveDataTypeable #-}
 {-# LANGUAGE FlexibleInstances  #-}
 {-# LANGUAGE StandaloneDeriving #-}
-{-# LANGUAGE CPP #-}
 
 module Application.SharedTypes where
 
-import           Prelude
 import           Data.Data
+import           Fay.Text  (Text)
+import           Prelude
 #ifdef FAY
 import           FFI
 #endif
 
 
-data Time = Time { time :: String }
+data Time = Time { time :: Text }
             deriving (Read,Data,Typeable,Show)
 
-data UserRegister = UserRegister { user :: String, password :: String, passwordConfirmation :: String }
+data UserRegister = UserRegister { user :: Text, password :: Text, passwordConfirmation :: Text }
                     deriving (Read,Data,Typeable,Show)
 
-data UserLogin = UserLogin { ul_user :: String, ul_password :: String, remember :: Bool }
+data UserLogin = UserLogin { ul_user :: Text, ul_password :: Text, remember :: Bool }
                     deriving (Read,Data,Typeable,Show)
 
 data UserRegisterResponse = Fail | OK
diff --git a/example/snaplets/fay/src/BrokenFile.hs b/example/snaplets/fay/src/BrokenFile.hs
--- a/example/snaplets/fay/src/BrokenFile.hs
+++ b/example/snaplets/fay/src/BrokenFile.hs
@@ -1,2 +1,1 @@
-
-broken:(
+main = f ":("
diff --git a/example/snaplets/fay/src/Index.hs b/example/snaplets/fay/src/Index.hs
--- a/example/snaplets/fay/src/Index.hs
+++ b/example/snaplets/fay/src/Index.hs
@@ -1,19 +1,22 @@
 {-# LANGUAGE EmptyDataDecls    #-}
+{-# LANGUAGE OverloadedStrings #-}
+{-# LANGUAGE RebindableSyntax  #-}
 {-# OPTIONS -Wall -fno-warn-name-shadowing -fno-warn-unused-do-bind #-}
 
 module Index where
 
-import FFI
-import Prelude
+import           Fay.Text                (Text, fromString)
+import           FFI
+import           Prelude
 
 -- | Time is shared between Snap and Fay
 -- | Location: snaplets/fay/src/Application/SharedTypes.hs
-import Application.SharedTypes
+import           Application.SharedTypes
 -- | Dom is a Fay only module
 -- | Location: snaplets/fay/src
-import Dom
+import           Dom
 -- | The fay-jquery package
-import JQuery
+import           JQuery
 
 void :: Fay f -> Fay ()
 void f = f >> return ()
@@ -38,7 +41,7 @@
 currentTime =
   ajaxJson "/ajax/current-time" (\(Time time) -> void $ select "#current-time" >>= setHtml time)
 
-formOnload :: String -> Fay () -> Fay ()
+formOnload :: Text -> Fay () -> Fay ()
 formOnload buttonSel getForm = void $ select buttonSel >>= click (const getForm)
 
 registrationOnload :: Fay ()
@@ -47,7 +50,7 @@
 loginOnload :: Fay ()
 loginOnload = formOnload "#viewLoginForm" requestLoginHtml
 
-requestHtml :: String -> Fay () -> Fay ()
+requestHtml :: Text -> Fay () -> Fay ()
 requestHtml url submitAction = do
   formContainer <- select "#formContainer"
   hide Slow formContainer
@@ -57,7 +60,7 @@
     jshow Slow formContainer
     return ())
 
-typeof :: f -> String
+typeof :: f -> Text
 typeof = ffi "typeof %1"
 
 requestRegisterHtml :: Fay ()
@@ -90,11 +93,11 @@
 
 data Status = Error | Notice
 
-statusClass :: Status -> String
+statusClass :: Status -> Text
 statusClass Error = "error"
 statusClass Notice = "notice"
 
-showStatus :: Status -> String -> JQuery -> Fay ()
+showStatus :: Status -> Text -> JQuery -> Fay ()
 showStatus status msg el = void $
   return el >>= hide Fast >>=
     removeClass (statusClass Error) >>= removeClass (statusClass Notice) >>=
@@ -107,11 +110,11 @@
 
 -- jQuery additions
 
-jPost :: String -> Automatic f -> (Automatic g -> Fay ()) -> Fay ()
+jPost :: Text -> Automatic f -> (Automatic g -> Fay ()) -> Fay ()
 jPost = ffi "jQuery.ajax(%1, { data: JSON.stringify(%2), type: 'POST', processData: false, contentType: 'text/json', success: %3 })"
 
-ajaxHtml :: String -> (String -> Fay()) -> Fay ()
+ajaxHtml :: Text -> (Text -> Fay()) -> Fay ()
 ajaxHtml = ffi "jQuery.ajax(%1, { success : %2 })"
 
-ajaxJson :: String -> (Automatic f -> Fay ()) -> Fay ()
+ajaxJson :: Text -> (Automatic f -> Fay ()) -> Fay ()
 ajaxJson = ffi "jQuery.ajax(%1, { success : %2 })"
diff --git a/example/src/Site.hs b/example/src/Site.hs
--- a/example/src/Site.hs
+++ b/example/src/Site.hs
@@ -8,8 +8,8 @@
 import           Control.Applicative
 import           Control.Monad.Trans
 import           Data.ByteString                             (ByteString)
-import qualified Data.ByteString.Char8                       as BS
 import qualified Data.Text                                   as T
+import qualified Data.Text.Encoding                          as T
 import           Data.Time.Clock
 import           Snap.Snaplet
 import           Snap.Snaplet.Auth                           hiding (session)
@@ -24,7 +24,7 @@
 
 
 currentTimeAjax :: AppHandler Time
-currentTimeAjax = Time . show <$> liftIO getCurrentTime
+currentTimeAjax = Time . T.pack . show <$> liftIO getCurrentTime
 
 -- TODO this can be handled automatically by heistServe
 registerForm :: AppHandler ()
@@ -34,16 +34,15 @@
 
 register :: UserRegister -> Handler App (AuthManager App) UserRegisterResponse
 register (UserRegister u p pc)
-  | length u < 4 || length p < 4 || p /= pc = return Fail
+  | T.length u < 4 || T.length p < 4 || p /= pc = return Fail
   | otherwise = do
-    let u' = T.pack u
-    exists <- usernameExists u'
-    if exists then return Fail else (createUser u' (BS.pack p) >> return OK)
+    exists <- usernameExists u
+    if exists then return Fail else (createUser u (T.encodeUtf8 p) >> return OK)
 
 login :: UserLogin -> Handler App (AuthManager App) UserLoginResponse
 login (UserLogin u p r) =
   either (return BadLogin) (return LoggedIn) <$>
-    loginByUsername (BS.pack u) (ClearText $ BS.pack p) r
+    loginByUsername u (ClearText $ T.encodeUtf8 p) r
 
 ------------------------------------------------------------------------------
 -- | The application's routes.
@@ -69,6 +68,6 @@
     h <- nestSnaplet "" heist $ heistInit "templates"
     f <- nestSnaplet "fay" fay $ initFay
     a <- nestSnaplet "auth" auth $ initJsonFileAuthManager defAuthSettings session "users.json"
-    addAuthSplices auth
+    addAuthSplices h auth
     addRoutes routes
     return $ App h f s a
diff --git a/snaplet-fay.cabal b/snaplet-fay.cabal
--- a/snaplet-fay.cabal
+++ b/snaplet-fay.cabal
@@ -5,7 +5,7 @@
 -- PVP summary:      +-+------- breaking API changes
 --                   | | +----- non-breaking API additions
 --                   | | | +--- code changes with no API change
-version:             0.3.2.0
+version:             0.3.3
 synopsis:            Fay integration for Snap with request- and pre-compilation.
 description:         Fay integration for Snap with request based compilation during development and precompilation in production.
                      For more information, please see <https://github.com/bergmark/snaplet-fay>.
@@ -41,14 +41,14 @@
 
   build-depends:
       base         >= 4 && < 5
-    , aeson        >= 0.6
-    , bytestring   >= 0.9
-    , configurator >= 0.2
-    , data-default >= 0.5
-    , directory    >= 1.1
-    , fay          >= 0.14.2.0
-    , filepath     >= 1.3
-    , mtl          >= 2.1
-    , snap         >= 0.11.1
-    , snap-core    >= 0.9.3.1
-    , transformers >= 0.3
+    , aeson        == 0.6.*
+    , bytestring   >= 0.9 && < 0.11
+    , configurator == 0.2.*
+    , data-default == 0.5.*
+    , directory    >= 1.1 && < 1.3
+    , fay          >= 0.18.0.2 && < 0.19
+    , filepath     == 1.3.*
+    , mtl          == 2.1.*
+    , snap         >= 0.11.1 && < 0.14
+    , snap-core    >= 0.9.3.1 && < 0.10
+    , transformers == 0.3.*
diff --git a/src/Snap/Snaplet/Fay.hs b/src/Snap/Snaplet/Fay.hs
--- a/src/Snap/Snaplet/Fay.hs
+++ b/src/Snap/Snaplet/Fay.hs
@@ -151,7 +151,7 @@
   case res of
     Success s -> writeBS $ fromString s
     NotFound -> send404 Nothing
-    Error err -> send500 . Just . BS.pack $ err
+    Error err -> writeBS $ fromString err
 -- Production compilation has already been done.
 compileWithMode Production = get >>= serveDirectory . destDir
 
diff --git a/src/Snap/Snaplet/Fay/Internal.hs b/src/Snap/Snaplet/Fay/Internal.hs
--- a/src/Snap/Snaplet/Fay/Internal.hs
+++ b/src/Snap/Snaplet/Fay/Internal.hs
@@ -1,4 +1,5 @@
-{-# LANGUAGE ViewPatterns #-}
+{-# LANGUAGE ScopedTypeVariables #-}
+{-# LANGUAGE ViewPatterns        #-}
 
 module Snap.Snaplet.Fay.Internal where
 
@@ -59,16 +60,16 @@
                                             , F.configFilePath = Just f'
                                             }
       case res of
-        Right out -> do
+        Right (out, _sourceMap) -> do
           verbosePut config $ "Compiled " ++ hsRelativePath f
           writeFile (jsPath config f) out
           return $ Success out
         Left err -> do
-          let errString = "snaplet-fay: Error compiling " ++ hsRelativePath f ++ ":\n" ++ show err
+          let errString = C.unpack . A.encode $ "snaplet-fay: Error compiling " ++ hsRelativePath f ++ ":\n" ++ F.showCompileError err
           putStrLn errString
           -- return Success so the browser will treat this as a normal JavaScript file.
           -- As of writing this, this means that Error is not used.
-          return $ Success $ "console.error('" ++ (C.unpack . A.encode) errString ++ "');"
+          return $ Error $ "console.error(" ++ errString ++ ");"
 
 -- | Checks the specified source folder and compiles all new and modified scripts.
 -- Also removes any js files whose Fay source has been deleted.