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I wouldn't think they'd have to upgrade -- would they? But the only other choice would be to refund the buyer's money? Or give a credit?
In this particular case, I don't think LP was obliged to offer a free upgrade, no matter what ScubaPro was doing to do right by their (authorized) customers.
By the same token, I think LP and Brett did the right thing by their customer.
--Marek
Refunding $$ would likely cost more than replacing with a current comparable model, never mind any customer satisfaction issues. I think LP should be obligated to offer warranty service comparable to the mfgr's service.