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Between the two, iLiad vs DR800, I would definitely recommend the DR800. The iLiad is their previous generation device, and there is not any new firmware coming out for it. It's also limited in that the only DRM format it supports is Mobipocket, which the industry is moving away from.
As far as whether or not it's a good investment to buy an iRex device with their current status, I'm not sure. You'll probably have to make up your own mind on that one. Companies have pulled out of Chapter 11 in the past, but others have gone under. I don't think we know yet what will happen.
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