Daily Lit is a neat service that delivers books in small readable chunks (3-5 minutes to read) to your inbox or RSS reader on a schedule that you choose. There are more than 700 free books available from Daily Lit. In addition to the book offerings, Daily Lit hosts discussion forums categorized by book, author, and genre.

Application for Education
Services like Daily Lit make many books available to students for free. Daily Lit could be used to by teachers to make long or difficult books easier for students to tackle. Teachers could set aside five to ten minutes a day for students to read a portion of a book during class. If your school doesn’t have enough copies of a book or any copies of book you’d like students to read, reading it in chunks through Daily Lit is a free solution. The discussion forums on Daily Lit allows students to read what other people around the world think about the books they’re reading.
(Note: Daily Lit’s terms of service state that users must be 18 or have parent/guardian permission. My guess is this is probably a legality to remove their liability for students reading books someone might someday find objectionable).