Chris has a relative that needs a really easy to use point and shoot camera. Leo says that an iPod Touch has a good camera and is easy to use. The chatroom says that the Canon ELPH is good option. Samsung makes a good basic line of cameras also.
Another option is kind of out there, but the QX10 which is a lens for a smartphone that also doubles as a camera itself.
Sadly, Kodak used to be Leo's #1 suggestion, but its gotten out of the game.