You had five different people post their template designs, you chose no winner. You had only four people provide logos, you chose a winner. Hardly fair on the time that the template designers put in. Nine individuals entered the contest with a total of 14 entries/revisions submitted, I think that's enough to warrant that
someone gets given a prize regardless of whether you're going to use the
winning design or not.
Sure, if only one or two people submitted anything then it would be a different story. Contests have a poor reputation over here, at least be generous and provide those few people with what they came here for -- the winners. You ran a contest not knowing if you would have liked
anything. By chance there was a logo that you liked, but what would you have done if there was no such logo? Yay, another failed TalkFreelance contest.
To mods/admins/Steve, sorry for barging into this topic. I could've just left it for bazza` to sleep on and get back to us. But I care for the community and would really love to see contests being a great focal point for us all. At this rate, that'll never (ever) be the case -- especially if all contests either end with the contest holder disappearing, or all contestants walking away empty-handed.