It comes and it goes. There are people you know will be straight up and honest and there are the ones that are not. If it is the first time you are working with them, I would just throw it out there and see what happens. If they continue to call for BS quotes year after year with no work, then you just blow them off as another suggested.
The whole copying of work was discussed in earlier threads that were locked. Copying happens from everyone and AD's are the least original at times.
On the whole gift part. It is one of the stupidest comments I have ever heard. If I am making 100,000.00 a year off someone, you can bet that they will receive gifts. No AD or CD will hire me just because of my gifts. They'll hire me because of the work I deliver and how much fun it is to hang on set. I have given gifts from as little as an iPod to a fully customized Macbook Pro loaded with their favorite music an iPod and a Canon Elph. It shows the time and care you put into the clients surroundings. I supply them with concert tickets to favorite shows that I know they want to go to and anything I think they may enjoy. I pay attention to all of my surroundings at all times to pick up little tidbits of information. Then I surprise them out of the blue and they are floored that I knew or remembered.
They supply me with the greatest gift possible, the ability to shoot and work on a constant basis. Now mind you, they don't hire me for everything. We go for drinks, hang and talk about jobs they have going on. I realize I am not appropriate for all jobs. That comes with maturity, what many people lack. I completely understand when they ask for a budget sometimes and I don't get it. At the end of the day, it is not the decision of one person.