Yep, Ubuntu uses ext3 by default.
The partitioning section of the installation program will take care of all of this for you.
Before you install Ubuntu, defrag your HDD in windows, and backup any important data incase anything goes wrong.
Basically, you need two partitions for a Linux install, of for the OS (/) and one called "swap". There should be an option to automatically partition, which should do this for you. Make sure you check what it wants to do before you click OK.
There is some good info about installing Ubuntu
Here
I hope this helps
--Ian