hi

a friend of mine got an iphone, i've unlocked it with anysim and apptapp (it was a 1.1.1).
however he now got that error, that he cant click the lower part of the screen, therefor cant click safari, ipod, phone etc.
now, there was some phones with this error, its a production error.
i've got a friend who lives in new york.

can i revirginize and restore the phone and get a replacement, or will they check even on manufacturing faults if i have an asigned ATT contract?

could he argue that he did yet activate it because it was a gift and when he found out its not working he didnt want to sign the contract yet?