Toyota of Temecula forgot to put oil during oil change now engine is dead Temecula, California

I bought a 2008 Dodge Caravan at the Toyota Temecula Dealer on January 12, 2011 with 54,107 miles.  I was offered an
extended warranty through AUL Administrator for 60 month/50,000 miles covering the engine internal parts and purchase them. Then on March 31, 2011, I went to the Toyota Temecula dealer to have the van an oil change at 58840 miles. I have a receipt showing they put 6 qt of 5W30 Quakerstate and changed the filter as well. The window sticker they put on the next oil change is at 64000 miles.

Then on June 18, 2011 Saturday around 11:30 AM, I was driving along San Diego I163 between Friars Rd and Genesee Ave heading Northbound, the check engine light went on and the van started to loss power. I was on the fast lane so I quickly moved to the right shoulder. I started the van and it will not start. The radio is on so I know there is power. I called my USAA insurance to tow the car to the nearest shop. Then I realize I do have an extended warranty. I called the
Toyota dealer explaining them what happened and I was told to take them to the nearest Toyota dealer in Kearny Mesa. While waiting for the tow company, I realize why should I take to Toyota dealer in fact my van was a Dodge. 

So I called the 1800 number again around 12:18 and I was advised to take it to the nearest Dodge dealer. The tow company took it to the Rancho Chrysler and Dodge. Since its the weekend I have to wait until Monday to get hold of the warranty people and the service advisor assigned to me  told me she would contact them. Then on Monday 20th June, I was told by the Dodge service advisor the van engines seize due to no oil in the engine and they did it by checking the dipstick.  And I was also told by the service advisor that according to AUL I have to authorize Dodge a tear-down the bottom of the engine to check the oil pan to determine the oil in the engine which they would charge $2200. I did authorize the Dodge dealer. The current mileage when the engine failed is at 62789 miles.

Also they noticed a burned starter. They open the bottom of the engine on Tuesday 21 June 2011 and found less than one-quart of oil in the oil pan. The Dodge reported to the AUL and I was denied again by AUL due to lack of lubrication. I called the Toyota dealership and they said the engines will still functions even with one-quart of oil and they documented the oil change and suggested the engine maybe burning the oil. Then on 22 Jun 2011 around 1200, I have the Dodge dealer faxed the receipt of the oil change to satisfy their argument of lack of lubrication where in fact 6 quarts of oil was placed in the engine. Then I called the AUL adjuster and I was denied for lack of lubrication and I explain to them about the oil change. The adjuster mentioned about the oil getting burned and Dodge need to explain to them.

Well, I called Dodge and she mentioned they already told them the causes. And it seems like they just giving me the run around. I was being charged by the Dodge dealer of 5K plus to repair the engine and I think it is not my fault the engine seize without oil since I have it oil changed. Six quart of oil in 3 months and almost 3,900 miles without a leak is very suspicious plus a total 62,789 driven miles.

On 27 June 2011, AUL Corporation asks Dodge dealer to have the engine disassembled piece by piece so they can send an adjuster to check them.  Last Thursday, 30 June 2011, I got a call from the Dodge dealer that the adjuster did an inspection of the engine and they have denied my claims to warranty the repair. I have called Toyota of Temecula telling them how the engine with lose oil without any leak but I was given a run around. I spoke to both the Service Manager and Service Director of Toyota of Temecula on July 7, 2011 and basically I was told it is my responsibility to check the oil and the engine since its burning the oil.

Well, how would I know if there is an oil issues since I do not see any leaks under the floor of my garage? Also the van is running fine and I do not see any warning lights on the dashboard. And its only 3900 miles driven after the oil change and their recommended next oil change is at 64000 miles. I do ride a van pool to commute to San Diego with the same type of van and every 3-4k miles Enterprise service them to Sears for an oil change and we do not check the oil since there is nothing that can cause an alarm while commuting and does not run out of oil if burning is the reason. I think this is a liability issue by Toyota of Temecula not putting oil in the van that causes the engine to seize.
 
According to the Dodge dealer, there is no service code when they run the test and also there is no evidence of leak either the head gasket and at the bottom of the engine.