My Biggest Complaint About iPhone Vodophone Egypt Won’t Warrenty

I went to fix my iphone 3g as the on/off bottom is not working so they told me at the store that they will not fix the bottom and that i have to pay 400 usd to get a new iphone 3g as they say there is liquid lackage. And i do not think that is true as the phone is working fine and i think they are they this thing about the liquid just because they can not fix it. I bought this phone in egypt for 1000 usd from vodafone and this is really bull **** that you pay 1000 usd for something and the company selling the product can not fix it. And i even called apple usa to complain and it seem that even apple in usa think that the egyptian supplier is right but if they think so i think they should right on the box and warranty that they can not fix any damage to any phone because if you buy a nokia for example and you drop it and that is normal for anyone to drop it then and something is broken in the phone they will be able to fix it so i think they should warn everyone before they buy and i think all apple iphone user should file a suit against apple as they are fooling us with a great product that they can not fix.