I used Sharon's method and it worked perfectly.

I had the same situation awhile back, and made a big to-do about it. Tried all kinds of folding and twisting things. But I finally just stitched to the corner plus 1/4" beyond into the quilt, tugged the next edge till it was almost a straight line and pivoted the presser foot and stitched along the next edge and continued as before. So easy. Hope this makes sense!

Leslie, you might want to review this video by Sharon Schamber showing how to bind a scalloped edge. It's all inside corners.
This is presented in 5 parts:

http://www.youtube.com/watch?v=cecclSlmpw8

Hopefully answered my own question. I found this link http://www.squidoo.com/how-to-bind-an-inside-corner-on-a-quilt. I plan to try this out.

I made and quilted a top where the bottom two corner blocks are missing so that it could potentially fit a bed with bed posts. The problem is that now I just realized I don't know how to bind the inside corners. Does anyone know of a book or other source with instructions? Thanks - Leslie C