having almost my entire, vast, collection of CD's ripped to iTunes (the library sites on an external disk 180GB drive) I can say that most of the time (more than 99% of the time) the Gracenotes data is correct.

However apart from just plain incorrect or poorly entered data (or spelling mistakes) because it uses the time value of the tracks (rather than some, non existent, CD ID code) as a search tool so that any CD that coincidentally has the same track times will come up - usually you will get a choice of several albums that fit the times - but if the CD you insert is not on the database you will either come up blank or possibly with some other CD you can then enter the details your self and use the "Advances/submit CD track names" to log them with the Gracenote database.

note that if several people have submitted the details and some of those people have entered in the date differently (spelling mistakes) or what ever then you really have to blindly select one and go through and correct any spelling errors or other details.