Mwave.com Defective MP3 Items being sold as new Ripoff Walnut California

Ordered what was advertised as a "New Open Box Creative Lab's Zen Micro 5 Meg MP3 Player". Received the package 2nd day air and found the player's battery pack to be defective (the battery did not appear to be new and and you could see one of the batteries terminal contacts was defective). Contacted customer support and this is there response:

Dear Customer,
That is correct the item is new but opened box but also we have been having allot of issues with the battery pack on the Mp3 players.
The only thing we can do is issue a full refund including your freight and of course a label for the inconvenience.

Bottom line is I don't want a refund because the player is fine I just want to exchange the defective battery for a functional battery which MWAVE has in stock and they refuse to do it. As it stands now I will no longer do business with this company. And I wonder how many other customers received defective batteries.

David
Palm Bay, Florida
U.S.A.