Just update, BMWNA just called me back as another follow up and told me they were able to work out a deal with East Bay BMW to replace the parts at cost with no labor charge. So this definitely now confirms it's up to the indivial dealer as a courteous jester to the customer perhaps the amount of warranty work they can add or if you purchased the vehicle from them. I will try another Bay Area dealer (Fremont) now and see what happens.