Fixing iPods
From ShawnReevesWiki
Disk repairs
Skipping bad blocks
See http://www.openobject.org/isop/?p=47 for how to re-partition an iPod's hard drive so that bad blocks are part of the partition-map partition instead of the firmware or data partitions.
See http://www.macgeekery.com/node/6 for nice examples of partitioning that helped people with both new and old disks.