Free Apple iPhones not allowed in promotions or advertisment

According to a guideline document, Apple will not allow third parties to use the phrase "Free" as a modifier in Apple product references

The strict guidelines was directed at WTVD-TV, a local TV station in US. The ABC affiliate TV station held a contest where an iPad from Apple was the first price in a sweepstake. According to Apple, this is not permitted. Doing so will break the Guidelines for Third Party Promotions.
Some of the restrictions set by Apple are

• Using "free" as a modifier in any Apple product reference in a prominent manner is prohibited. Additionally, "free" as an modifier of Apple products in a less prominent context: "Win an iPod nano when you refer 10 friends to YOURCOMPANY"
• Apple must review all promotional materials related to the promotion
• Include the following statement: "Apple is not a participant in or sponsor of this promotion"
• iPod touch is only allowed to be used in special circumstances and requires a minimum purchase of 250 units.
• iPad, iPhone and the iPhone Gift Card may not be used in third-party promotions

If that's not enough, the following statement should cover the rest: "In any event, we reserve the right to revoke our consent to your use of Apple products in your promotion at any time and for any reason"
We totally understand that Apple wants to protect their brand name, but think this is a little over the edge.
What do you think?