GBC; Go with the classics available on MobileRead, they are handmade ebooks and are nicely formatted. I believe all the 100 free classics are available here for download in a better format. And yes, they are free.
Plus AcidZebra made a nice conversion of 11,000 PD Gutenberg ebooks to LRF, and put up a torrent for them. There was originally some concern that it included some copywritten texts off of Gutenberg and the link was removed, but that was eventually debunked. However the link was never put back to reflect this. Mind you, this was a 100% legal torrent for anyone that is interested. Just Google "11,000+ Project Gutenberg ebooks for Sony Reader " and send a TY to AcidZebra for doing the mass conversion. This is in response to ordering a CD/DVD.
-MJ