Could I use an old iphone 4 without a contract?

My friend will be giving me her old iphone and i wanted to use it as an ipod touch. This iphone 4 was used on verizon and was wondering if i needed to get a contract for it to work? Also if i restore it to its original state would i need to have a contract?

No you don't. Just charge it and sign up for an apple account

No you won't. Basically a contract for iPhone means a carrier-locked iPhone (the iPhone can only read SIM Cards from a certain carrier). Its basic function is no different from iPod Touch 4G.

However, since I've never used an iPhone without a SIM Card, I don't know if an iPhone could be booted without a SIM card. If it really need a SIM Card, you could always insert an expire Verizon SIM. Restoring it won't be a problem as it will be recognized by itunes as an usual iPhone.