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I think that LG contact has it wrong. It would be LG what would have to work with you to get it replaced. Massdrop won't take back products. Think of it like this.....if you bought this from a store, you'd usually have 30 days to bring it back if there's a defect. After that, you'd have to go through the manufacturer to get it fixed. Massdrop gets us the product cheaper, but you don't get any of that initial 30days return time.
So if there's bleed that you can't tolerate, or bad pixels, it absolutely has to be LG (and with 3 year warranty) that must honor that.
I think the LG contact just wasn't realizing that this is not a regular retailer you can take the product back to. Course this is just my .02 on the whole situation.
I really doubt Massdrop would take the monitor back even just to hand it off to LG, being like a middleman for you with LG. Doubt that's what will happen. It's gotta be LG directly.
Perhaps its apples and oranges given the difference in cost and size, but Massdrop has allowed me to exchange products in the past (namely a pair of Beyerdynamic headphones who's right cup decided to quit working).