We have talked about this here before, but here is a tumblr post by Kyle Webster about a recent 'contest'.
From the post:
"All they do is provide the client with tons of free art and a tiny pay
day for the selected artist. I’m getting more direct with my replies to
these annoying emails - the one below was in reply to an email about
designing a can for Mike’s Harder Lemonade (this is a multi-million
dollar brand, folks, offering to pay $7500 for winning can design…
pathetic)- let’s show these companies that we don’t work for free."