Apple Computer - iTunes iTunes Problem in Redeeming Promotional Gift Card from iMac Purchase Cupertino, California

I purchased a new Apple Computers iMac in September 2011 that came with a $100 gift card.  The card required me to register it with iTunes. I have no use for downloading music or applications from iTunes and saved the entire $100 gift card balance to apply toward the purchase of an AppleCare extended warranty plan.  When I tried to apply the $100 balance to the purchase of the AppleCare extended warranty I was advised that the card could not be used to purchase the AppleCare extended warranty.  

This seems to be a violation of California gift card law which normally allows consumers to apply gift card balances for any purchase within a company.  iTunes is an integral part of Apple Computers.   Another problem is that I was advised that a tax of $14.15 would be applied to the AppleCare plan extended warranty.  I have spent the last week sending messages to iTunes asking to use apply my $100 gift card balance to the AppleCare plan but all of my attempts to resolve the matter have been rebuffed.  I am therefore left with a $100 gift card that is worthless to me since I never plan to download applications, music, or other items from iTunes.  

They also do not allow me to sell or transfer the card to anyone else who might be able to use the $100 balance. It seems that Apple's practices in regard to use of its gift card are unfair to consumers. I therefore will not purchase the AppleCare plan or any other Apple products in the future. I would be happy to join any class action or other litigation against Apple Computers and iTunes to enable consumers to use Apple gift cards in any way they would like.  I am a retired college dean and currently work as a part-time faculty member at a major university in Silicon Valley.