This utility uses the To Title Case JS string prototype (v2.0.1) created by David Gouch. As the demo page uses a textfield rather than a textarea, I decided to do something about it especially since I could also use the opportunity to test some new functionality introduced in the Drupal 7 release of the Node Style module.
The results aren't always sans blemish and will very likely necessitate some occasional tweaking. But it takes most of the hassle out of it :)