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Help Screen going haywire

Hello all. My gf received a refurbished p.o.s. from uscc and wouldn't you know it, it is a problem maker. To start, it appears that when they "fixed" this phone before sending it out, they didn't set the screen in correctly. It is raised slightly on all corners, as if it was where they popped the screen off. There is a ton of debris behind the screen too. ANYWAYS, the issue is that the touch screen is VERY unresponsive and when you can slide your finger, the screen goes up n down and will not stop this until she locks and unlocks the phone...only to have it do the same thing 4 mins later.

We tried a factory reset, calibrated it from the settings menu and still nothing. I'm convinced it is a hardware problem. Not only is this complete BS, but her 1 year warranty (which rolled over after getting this "new" phone) expired the day after she called bout the phone.

Has anyone experienced this screen jumping issue?
Any thoughts,comments,suggestions would be great.

Btw, my bad on the lifestory and novel of a post.

Desire CDMA stock
 
If you think it's hardware (and it very well may be) why are you not returning it? How long has she had it? If the warranty expired the day after she called then surely you can prove it was faulty whilst still in warranty.

I would be reluctant trying to fix it myself, and if it a hardware fault, trying to flash software on top will make it worse. Reject it and send it back.
 
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