http://ds.ign.com/articles/568/568084p1.html
Nintendo's response is classic
So basically if you keep it beyond the return period from the place you bought it from, you're stuck with the warranty where they may or may not fix it.
...many new owners have reported the dreaded "dead pixel" syndrome on their system.
Nintendo's response is classic
We suggest that you use your system for a few weeks to determine whether this interferes with your enjoyment of game play.
So basically if you keep it beyond the return period from the place you bought it from, you're stuck with the warranty where they may or may not fix it.