Comment Not necessarily comments... (Score 3, Interesting) 1021
In my opinion, comments are useful -- but literate programming is where it's at if you're looking for the best way to document your code.
Knuth did a lot of work in the area -- if I remember correctly, all of the sources to TeX are written in a style understood by the "web" literate programming tool.
There was also a good article by one of the Perl folks (Nathan Torkington? M.J. Dominus? Chromatic? I can't remember.) on POD, and how although POD wasn't literate programming, it was still useful. That article was great in that it showed a middle ground that may be more palatable to your non-LP-fanatic programmer.
That being said, I prefer full-on LP for large projects.