In fairness to the dealer, their hands were almost certainly tied. Since last year, VAG have implemented changes in the scanning process whereby any remap (even if returned to stock) is automatically detected and a TD1 flag is added to the vehicle warranty record without any intervention by the dealer or the technician performing a service. It is completely transparent and the only way you can avoid getting this flag is to either never remap the car or never visit a dealer. Once that TD1 flag is added to your vehicle record, whether a power and drive train warranty claim is honoured is no longer up to the dealer. Whilst the dealer could argue as long as they liked that a remap did not cause a bearing failure, once that TD1 record exists they really have very little ability to pursuade VAG to pay up.
As for the reasons for VAG doing this, it is a deliberate crackdown on aftermarket remappings which are specifically mentioned (at least in Australia) as automatically voiding the warranty.
Given that most remaps are likely to be perfectly safe so long as good quality fuel is used, the car regularly serviced, properly driven, etc, on the other hand I can see the manufacturer viewpoint as well. They have to make a product that suits the mass market and they need to make it as durable and bullet proof as possible. The manufacturer cant predict or know that some owners will treat their vehicles in one particular way and that others will abuse their cars. So they have to shoot for a lowest common denominator (which is obviously pretty low given how well companies like DNA can improve the engine tune).
I would have thought that these days it would be possible to tell if a car had been abused or the engine stressed beyond safe limits by downloading data held in ECU memory, but perhaps things are not yet that sophisticated.
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