In the computer role playing games of old, one player managed a whole party with several members. When a new item became available, the player decided which party member would profit most, and give the item to them. Overall progress was the only goal. In its purest form, a loot council works exactly the same, one person decides which raid members get which items. If that player is impartial and the decisions are correct, there can be no issues about "justice", because overall progress is the one primary goal in raiding.
As it's nearly impossible for a single person to be godlike and impartial, most raids use several people to take this kind of decision - a loot council. Normally the loot council also has less absolute powers than the pure form. A frequently seen loot council policy is to restrict items by by class and/or talent build. Loot councils are always used to give a higher emphasis on the success of the raid as a whole over the selfish interests of individual raid members. Commonly used categories to limit loot to certain classes/builds are:
- Tank (prot warrior or paladin, bear druid)
- Melee DPS (arms or fury warrior, rogue, enhancement shaman, cat druid, ret paladin)
- Spell DPS (mage, warlock, shadow priest, elemental shaman, moonkin druid)
- Healer (holy priest or paladin, resto shaman, tree druid)
For some spell DPS items it is a good idea to restrict them further by damage type (nature, fire, frost, shadow), but this happens normally automatically because +nature damage is of no particular use to a warlock.
Despite not being a hydrid class in the true sense of the word, hunters can also often find some use for nearly anything they're able to equip. Depending on playstyle and preference, and keeping usefulness towards the raids goals in mind, hybrids and hunters should be watched very closely, to avoid loot whoring. Usually this means that all players should give their build to their class leaders, so they can judge into which category the player belongs.
Usually the main tank(s) are a class of their own. Since the raid's main tank is extremely important, they are frequently given precedence on any tanking gear they need.
Advantages
- The people on the council (should) know what is best for the guild/raid and can give loot to where it is most needed or deserved.
- Loot Council can sometimes have less of a cutthroat feeling than DKP, where there is a high pressure to be always at the top of the list.
- Many of the problems of other (point) loot systems can be avoided, including inflation or hate bidding (draining).
- Exceptionally rare items can be given to those who need them most, rather than who has the most points at the time (for example, a Thunderfury to the main tank).
Disadvantages
- Loot Council is only as fair as the people on the council. One corrupt council member can destroy a whole guild.
- It requires more work on the part of council members to pay attention to and keep track of that which determines loot distribution.
- Actually awarding loot can take more time as council members debate whom it should go to.
- Some people will always perceive inequality in the distribution of loot, regardless of whether or not it actually exists.