Use when you aren't excited about choices, but have to pick one. None of the holiday packages seemed great, but we chose what seemed like the best of a bad bunch.
Pro Tip 2/3
Slight Disappointment
Implies a compromise in quality or satisfaction when making a choice. She bought the best of a bad bunch since there were no good phones left in stock.
Pro Tip 3/3
Somewhat Informal
The phrase is casual, more likely used in conversation than formal writing. During our team pick, I got the best of a bad bunch of players.