Roxio Sonic Solutions Roxio Easy LP to MP3 sold to me was defective and they will not repair or refund, Internet

I purchased Roxio's Easy LP to MP3 kit on 11/30/2011 from Best Buy as a Christmas gift. I gave the gift 12/25/2011. When the product was opened and attempted to use, it was found to be defective. By the time I tried to return it to the store, it was past 30 days and the store would not accept it.
 
I found Roxio online and attempted to resolve the issue by phone. I found out Roxio does not allow phone support unless you pay for it. So I attempted to contact customer service by email. There first email back they pointed me to the phone support and told me I had to pay. I wrote them a terse reply that I did not intend to pay to resolve a defective piece of merchandise. I was then instructed to send a copy of the receipt and picture of the defective equipment in PDF format (which I don't have the equipment for and had to get someone else to do for me).

I received a response back that they do not offer refunds or replacements after 30 days. This is a $70 item. How is it possible in modern-day America for a company to sell defective merchandise and not have responsibility for it?