Place ham, 1 cup sherry, honey, 1 teaspoon whole cloves, allspice, bay leaves, and water to cover in a large container. Bring to a boil. Reduce heat; cover and simmer over low heat 3 1/2 hours or until tender. Cool in cooking liquid. Remove ham from cooking liquid, and remove outer layer of skin . Place ham, fat side up, in a shallow roasting pan.
Combine breadcrumbs, brown sugar, and 1/2 cup sherry; mix well. Pat outside of ham with breadcrumb mixture. Stud with 1 tablespoon whole cloves. Bake at 350° for 20 minutes or until lightly browned. Transfer ham to a serving platter; cool completely. Cut into slices to serve.