Corrosion near battery terminal... need advice

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I searched to try and find a simmilar problem.... About a month ago I would be using my MacBook and all of the sudden the screen would go black (sleep mode) this was easily corrected by shutting and reopening the screen... this progressively was getting worse (once in a while turned into every hour which eventually turned into every 5 minutes). By the "end" I also had to hold the power button on when I opened back up the laptop to take this out of sleep. In the "end", it just didnt turn back on.
I brought the computer into Future Shop where I purchased it (authorized dealer) but they had to send it out (not authorized to diagnose/repair)... here are the pictures they sent me, indicating it was water dammage (even though I know this MacBook has never seen any type of liquid)... any thoughts? They obviously are not going to repair under warranty (I bought the extended 3yr through FS) when they "believe" it was water damage.... Funny thing Is - I am not convinced as the "corrosion" is only located at the terminal/pins. I don't have any technical leg to stand on at the moment, but how could this happen with no liquid dammage? (side note - this all started happening after I purchased a replacement battery in year 2, the thing lasted only 1-2months then crapped out first... then all these problems started happening after)? please help..lol... Future shop still has my computer and I really think they should cover the repair/replacement $800.

Thanks

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Crawley, England
Your Mac's Specs
20" Intel iMac 2.4 Ghz/3G Ram/320HD, Snow Leopard. PBook G4, 1.5Ghz/1.5 Ram/250 HD, Leopard 10.5.6.
Hmm. Well it looks like acid damage from a battery, not water, and if you had spilled water on it I would imagine it would have gone to a lot more places!
However, the problem lies with the fact that you bought a replacement battery. Was the battery an official Apple product? If so, did you return it to Apple with a complaint?
If it wasn't an Apple battery I am afraid you have no leg to stand on.
Now, $800 seems a touch excessive! Those parts can't cost a lot to replace.
 
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The battery was purchased at FS.. it was an "official" apple battery (replacement), FS is supposed to cover that as well. Just brought the whole thing in together, looking at the battery (external terminals) I see no signs of corrosion.
 
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Your Mac's Specs
20" Intel iMac 2.4 Ghz/3G Ram/320HD, Snow Leopard. PBook G4, 1.5Ghz/1.5 Ram/250 HD, Leopard 10.5.6.
Ok, so you need to persue them about why the battery failed so soon, but you should question why they think it's water damage, and ask them to be very specific about the evidence, because it's to small an area as far as I can see.
 

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