Well, even if you say so Firs--
Let's assume you make a quest, and out of the people who take part and finish only one is LR, there is a guaranteed WP for him, even if lets say it is a timebased thing and he comes in last, 10th place out of 10? Just because you were funding it? If I remember that was the clause, but that isn't the purpose of the quests, to reward someone based on their choice, no matter how the other did.
I often notice things like: One can only go to a citizen of XXX. You get my point I hope. Then it doesn't turn into a contest of skills anymore, merely of who enters and finishes. Is that still a quest in the original sense, or just a bribed bet, where you bet on horses and suddenly all other racers suddenly collapse before they reach the finish line?
It doesn't even matter whether what category it is, I am just talking about some kind of rating: No matter hwat quest you have, you have to have a ranking in order to determine who is supposed to win what.
As phantasm says, it is an attempt to give their citizens more WP. But how many of those were earned in a competition they won? And..is it truly still a quest if you want to reward 3 people but only 4 enter? It's another form of discrimination in a sense, one that I can even understand: Every king wants their citizens to get something.
But for the quest culture of MD, it is a VERY bad thing, it limits the influx, the amount of quests people can do, and leads to a huge inflation of WP. Are all WP earned that way really the WP they should be? A wishpoint, hard work? I bet if we checked the logs, lots of WP were given out to citizens mainly already, for whatever reason.