What is the general concensus on the space around the recoil lug? Should it be relieved around the forward edge and underneath or is it advisable to leave it bedded all around?
What is the purpose of such relieving?
I've bedded several, and quite frankly, until recently it never occurred to me to relieve it. I read on some forums where relieving has helped accuracy, but I've never tried it.

Bobby,
The only place the recoil lug should contact the stock is at the rear, no contact on the sides, bottom or front.
I bedded my sons 77, I ground about 1/8" of wood from the rear of the lug recess, put in a small amount of Acraglass (don't forget the release agent on the metal) after it cures clean out any excess with a dremel tool. While I was at it I free floated the barrel and this rifle shoots in the 3's with my 12 year old shooting.
Good luck.
Stepchild 2

Bobby,

The whole idea in bedding is to provide a solid and level support for the action, completely free of any binding, where the action cannot shift around under recoil.

Without the use of pillars, it is possible for a heavy hand, to tighten a guard screw enough to crush stock material, though however slight this may occur, would hurt accuracy. In this situation, if the lug were to make contact before the action was properly seated, then binding will result which will destroy accuracy.

In actions where the guard screw actually enters the recoil lug, then the bottom of the lug becomes a load bearing surface and must be bedded, or risk pulling the action out of square.

With regards to the Ruger 77, the bottom of the receiver, the backside and bottom of the lug are the forward load bearing surfaces, so you will need to provide support in these areas.

Unless you are gluing the action in the stock, then you may want to provide clearance around the front of the lug to aid in easy removal from the stock. I would imagine any amount of clearance would suffice. Most folks use a couple of layers of tape to provide the necessary clearance.

Good luck,

Malm

Thanks for the info, guys.