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My own opinion on this issue is that you have to discuss TGP galleries and link list style free sites separately as they are two different modes of advertising.
With TGPs over the years as tgp owners became more and more restrictive on the amount of advertising on each gallery the pics themselves by necessity had to become a key part of your marketing. In this case if it is a reality site or amateur girl site I can see the sponsor getting upset with bought content.
With link list style free sites you get usually two pages of advertising before the surfer even sees any pics. The free site webmaster's job is to design two pages of advertising so compelling that the surfer doesn't even see the pics. He is off to your sponsor. In fact using sponsor content on a free site is counter productive in that you can usually only promote one site. So as an advertiser with sponsor content if a surfer clicks to your sponsor on your index page and then returns to your free site you have nothing else to show him.
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