I really enjoyed taking a literature paper when I was at university. If you are planning to take one, I would recommend taking one of local writers. Not only is it wonderful to learn more about your own area, but often they will be able to actually come into the class and talk to you about their work.
Which leads to an interesting question. I knew a girl who was studying the work of a particular author, who lived fairly close to the university and often came in to give talks. The girl was torn between asking the author to clarify particular parts of her books, and not wanting to "contaminate" her research with bias from the author herself.
In the end, I think she decided not to talk to the author, although she was still allowing herself to use quotes from other interviews.