Sorry if the last post was presumptuous... From what I saw in the IC thread it seems that the group didn't have a proper policy for magic items.
It seems to my like this solution fulfills the needs of game balance (nobody gets extra magic items, at least not without going through Hudder and dealing with the glyph) and realism (it seems profoundly unlikely that people would leave 10,000s of gp worth of magic items lying around the jungle).
In the even that someone (probably the warforged) assert they actually have no next of kin then Hudder goes for "mentors" "students" "good friends" "people yah served with inna war".
Finally he suggests they donate to a religion 'r charity. Like the Reforged, read about 'em inna Korranberg Chronicle, they help warforged fit inna society.
If you are our new cleric then welcome Greenstar!