Cindy L. Chick writes about a few reasons to use Google Docs or other alternative, non-Microsoft office products at her LawLibTech blog. While I haven't tried Google Docs, I've read about it in various computer magazines, most recently in MacWorld. I have tried Open Office on my Mac, and find it fairly easy to use.
How is this related to law libraries? Cindy points out that she recently wrote an article for Law Librarians in the New Millennium and was able to use Google Docs to let the editor see her work in progress. Wouldn't something like this be interesting for, say, DALL Advance Sheet articles?