Explained situation to first Apple Customer Service Rep. Informative, polite exchange leading to transfer to a rep. who could look into the specifics. Transferred to Dave. Explained more in-depth, took picture of IPod, emailed Dave. Dave explained policy, issued a special code and explained the exception. Dave took notes of the exchange and determines the store needs to be held accountable for their behavior. I am impressed. Happily awaiting package to return and exchange my daughter's broken IPod.