Acer Computer Failure to honor warranty coverage. Temple , Texas

I purchased an Acer laptop computer for my son on 12/9/08. On 10/12/09 the screen failed during normal operation. I contacted Acer immediately, and after some troubleshooting with a tech. I was told to send the computer to them for service. At no time did the tech. state that the problem may be a crack in the LCD screen even though I described in great detail what the screen looked like, not did he state that it might not be covered. I was told I had to use UPS to send it back, and that I needed to purchase a special box for shipping it even though I still have the original box and packaging materials.  It cost $33.92 to ship it back to acer.On 10/16/09 I received a message from acer stating that the LCD screen was cracked and would not be covered under the warranty. They said they could fix it for $199.00.  I called them back to find out why the screen would not be covered since the warranty does not exclude the LCD screen from coverage.  They said it falls under the misuse by the consumer part of the warranty. I proceeded to question their finding, since there is no physical damage to this laptop at all. They insist it is the consumers fault. I asked if they saw a crack in the glass screen. They sad no. I asked if the crack is behind the screen. They said yes. I asked again how is it physical damage by us if its under the glass.  They just kept replying over and over that it is our fault and would not be covered.  Acer is using the "physical damage" part of the warranty to get out of repairing a defective LCD.