TotalFinder ( http://totalfinder.binaryage.com/ ) works for me.

I suppose the author missed the letter 'd' in this statement.

It doesn't do that for me. Whenever I click on the dock icon or fire it up via spotlight, iTerm goes in the foreground, but there is no duplicate windows created.

Odd: I wonder what about your configuration differs from mine. I'd love to fix that once and for all.

Just checked my logs... not a single panic since 10.9.3