I love Case peanuts! I have a passel of 'em. That said, my favorite right now is my GEC easy-open. It's a lot of knife in a very small package- and is about as pretty and non-threatening as you can get.
On my size scale- less than 2.5"= slipjoint. 3" = modern locking folder. Over 3" = fixed blade.
I carry my SAK Cadet everyday. The blade will do pretty much 95% of my needed tasks. Doesn't stop me from carrying a 4" Emerson though. I love big full handles.
My favorite category of knife is the small folder.
Favorites of mine include:
Nemesis Knives Imp
Spyderco Cricket and Kiwi
Benchmade Benchmite
Kershaw Onion-Centofante (no clip, but comes with low-profile clipped sheath)
Victorinox Cadet
Most of these do not have clips, some have sheathes.
My favorite small folder is probably a peanut, but since it's a bit larger than that 2.5" you mentioned, it'd probably have to be my little A.G. Russell pen knife. It's so adorably tiny but beautiful with MoP handle scales. I just kind of wish I had an occasion to carry it.
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