I voted for the third option, You broke it. They have no responsibility to replace it.

For sure this happens bringing in a wild fish for a quick release. It does in my case.
It has been my experience that a flawed rod will give way on the first or second trip. Beyond that is basicly my fault, brusing the rod on the boat, with tackle, and handling.

Customer service for repair/replacement should go by length of ownership IMHO. My repeat business is based on the service, after the initial sale.