Totes M' Notes is a new note taking App for the Ipad which has been getting great reviews, despite only being available for a couple of weeks. This App lets students organize their work into folders which they can customize to give it the feel of traditional notebaking with cool stickers and pencils to choose from. Notes can also be shared via Email and the App provides connectivity to sites like Facebook as well. The folders can be organized on a virtual bookshelf, making them easily accessible to students.
There are lots of note taking Apps out there but this one looks like it sets itself apart with its great interface combined with extra sharing capabilities and tools. It is available on the App store for $2.99. Not cheap by App standards but looks like a good bargain for what you get.