Collapse white space when inner element is shrunk

[barrychapman]

I have an issue where I have an object where when the object shrinks to fit, I use the callback to adjust the height of the container ($in object). The trouble is, when watch is enabled, it does not increase the height because the height has been set on the container.

Is there a way to make that flexible?

var $fits = $('#mymodal').find('fieldset.admin');
var $ins  = $('#mymodal').find('#myfields');

var $fit = $fits.get(0);
var $in  = $ins.get(0);

        fit($fit, $in, {vAlign: fit.TOP, watch: true}, function(ty) {
            $ins.css(
                {
                    'max-height': ty.height + 'px'
                }
            )
        });
        fit($fit, $in, {vAlign: fit.TOP, watch: true});

Any ideas?