"Need over greed" sounds good, but doesn't always work... The last group I was in, we had a Human Paladin, my NG Elven Ranger, a Half-Orc Cleric of Gruumsh, a Dwarven I-don't-know-what spellcaster, a Human Fighter, and a Halfling Rogue. We killed a Boarclops (giant warthog-headed cyclops), a fireballing Troll, and his chain-shirt-wearing Lizardfolk allies.
Once the regenerating Troll was down, everyone else ran off, yelling "Somebody finish that off!", so I did, and searched the body. I found a rod-sized Wand of Fireballs (I knew what it was, as he'd used it on us, first, and I made a Listen check to overhear the command word), a pair of bracers (which magically resized to fit me, when I tried them on), a masterwork bow, and some other stuff.
After finishing the fight, we collected the gear from the Lizardfolk and others. The Paladin (wearing a chainmail shirt) said if any of these shirts were magical, he wanted it. I objected (being able to use only Light Armor), saying that if they were Mithril, I wanted it (he could have any magical steel).
Then, thinking our group the standard "All for one, and one for all" type, I revealed the goods I'd found, and that the bracers were magical. The Fighter immediately tried to lay claim to the bracers! This brought up how the treasure would be divided...
Meanwhile, the Cleric of Gruumsh was "secretly" casting
Detect Magic on the bow, revealing it to be magical. He then tried to "pick it up out of the treasure pile" despite the facts that my PC had it, and had taken all the bows and put them into his
Quiver of Ehlonna (after asking if anyone wanted one, and getting no answers).
I pointed out to the GM that spells must be cast "in a strong voice" (according to the Verbal Components section of the PHB), and that hearing NORMAL Conversation was DC:0, and asked to make a Listen check to hear it. Naturally, I succeeded, and the Spellcraft check to ID the spell did likewise...
I had asked, before this, if anyone could
Detect Magic, and no one had said they could. Naturally, I was a bit disgusted with the HO, but I said nothing.
So we rode off. Along the way, the HO asked if he could "see the bow you took off that Troll". So my PC asked him, "You mean the one that's magical, that you weren't going to tell us about?"
Then, like an idiot, instead of keeping hold of all the magic items (and I believe that I had all of them, at that point), I re-opened the discussion on how to divide them, and in order to prevent anyone from thinking that I was trying to keep them all, I handed the wand to the Dwarf to see if he could use it (as the Halfling had no Use Device skill), gave the bracers to the Fighter, and the bow to the HO... That turned out to be a mistake.
After getting to the castle of the local lord, we agreed upon how the goodies were to be split. I asked to see the bow to Evaluate it, and the HO replied "Sure, come by my room, later... There's this trick we do with apples..." He then left the room, as I used my one rank of Sleight of Hand to pull the bow off his back.
A few rounds later, he was back, yelling and screaming, and attacked my character. I won initiative, and tried to tangle him. He was slowed, but not stopped. The councillor, there in the room with us, called for a halt (after the HO had taken his turn, and missed). I halted.
Then I get this E-mail from the HO's player, about how he really didn't care about the bow, and would drop this PC if it was a problem, and how he was only doing this (laying claim to the bow when, by the agreement we'd just hashed out, he wasn't entitled to it) because he was RPing his character, etc., etc., blah, blah, blah!
Next thing, in-game, his HO attempts to grapple my PC... by the neck!
At this point, after having just been through a bad gaming experience, and having already told the other players/PCs that I really wasn't interested in being part of another party that didn't work well together, I rolled a Tumble check to get under the table, and posted a note that I was gone, then dropped the game.
The division of treasure I left up to the remaining PCs.

I suppose the Fighter kept the bracers, and the HO got the bow. Don'know what happened to the wand, as I was the only one who might have been able to use it (one Rank in Use Device), and knew the command word.
The game folded soon after, though...
Nope, "Need before Greed" just doesn't always work!
