The manual says
Quote:
5.18 JUDGES’ AWARD
During the course of the competition, the judging panel may encounter a team whose unique efforts, performance, or dynamics merit recognition.
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No mention of any intent that these awards must be for something outside the bounds of other award categories.
Often a judges award is for an "against all odds" team, one that persevered against obstacles thrown in their path and came through.
I've also seen the award given for a team that is strong in a variety of areas, so the judges wanted to recognize them. Since this award is so free-form, it could also be used as a "second-place" for one of the other award categories, even Chairmans.