That is true. I have not yet heard a story where they broke their warranty policy though... Anything you hear is international {except for a couple incidents, adams was from before I was a member, I never heard the entire story}.
To me this is what I get out of the op's situation...
He bought the unit with a 5 year warranty, it worked for a while then broke, they sent a new part and it was fixed, then it broke again, they sent a new part and it was not fixed, he had to call them at least twice for each part, and now when he sent it back on his own dime they didn't look at it after 2 weeks passed and he called to follow up... This is indeed poor practice, they are wrong, and now the op and anyone else reading this knows, to
1-record the information incase you need it at a later date--- get names and incident numbers when available, write down dates and times of calls...
2-follow up after a couple days if you did not get a tracking number or confirmation of some sort by then
3- buy local if and when possible {this will save you shipping costs and aggravation in the off chance there is a problem} {you are buying emo because they are a great value, an amp or processor of equal quality would cost 2-10 times more if bought elsewhere...
4- processors from small companies like emo, outlaw, parasound, ect. will most likely have problems, I had REALLY good luck with my UMC1 and UMC200 {its one of the first ones sold and not an issue with it as of yet, and we use it 8-10 hours EVERYDAY since it arrived}. You will do much better with a Denon, Marantz, Pioneer, ect that has preouts for the same price, but beware with the exception of Denon if Emos CS scares you some of the big companies will have you setting up a noose and a shaky chair in no time...
So anyway, I hope the OP gets this taken care of and in all honesty I'm sure Emo is going to fix his unit and return it or replace it, there is little doubt about that, they aren't going to "rob" you or send it back broken, just taking longer than it should , I sent an email onto the rep I deal with with a link to this thread expressing my concern since between me and my brother we own almost $15K in emo gear...
Some times we forget this is only stereo equipment, its not a life and death issue, your pipes aren't going to freeze because your heat isn't on, your grandfather isn't going to have a stroke from the heat since your air conditioner is out, food isn't going to spoil since the refrigerator is broken, your not going to lose your job because your car can't move, your not able to get around because your prosthetic legs ankle joint is seized up, ect... this is just an av receiver not your sons iron lung machine, mechanical and electronic devices break, its the nature of the beast, and some times a phone call or two can fall through the cracks, I understand this since I am in business and go through it once and a while myself, the op did the rite thing by expressing his feelings here and warning others on how to take care of the situation, hopefully this saves someone else the aggravation that he is going through, and hopefully emo gets off of their *** and gets him his unit back before he has to watch Seed in 2.0 again {Seed is like the canadian Friends}..
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