Mobipocket and ubook are also free (ubook at the link I gave you earlier). I think you'll have better luck with those. Ubook will handle a lot of different types of files and mobipocket is prc(?) I think. Like palm uses. There are lots of free e-books for these readers also. Do a search in these forums and you'll find some great sites. One of my favorites is fictionwise. And mobipocket has their own e-book shop. Look around and you'll find some freebies.
Try baen books also if you like science fiction. They have an excellent free library. :approve:
Here's another one
http://manybooks.net