in that video it looks and sound like the bike dropped from 2nd into first almost like a not posititve shift.
myself being a now X- dealership employee for Suzuki and dealing with warranty. I have to say that US Suzuki is treating you very fairly, and before you scream you have to understand the process.
your bike has a problem US Suzuki (let's just call them the Factory) has no idea at this point other than you bought a new bike.
Your Dealer knows about the problem and advises you on a course of action. Dealers mistake was they never called Factory. Now you have failure and NOW the Dealer call the Factory. As per your Warranty (which if you never read one you should) the factory only covers defects in workmanship and materials caused by Suzuki motor Corp.
This is a very important statement!
This mean like the people who have lost clutch levers, this is not warranty because it was not cause by the Factory, it was caused by the dealer they installed it not the factory.
So back to the tranny, Suzukis have VERY few failures period and a tranny is one that in 26 years of dealerships wrenching only saw 2 that were warranty. one was a KZ750E 81 model when you rode in 2nd it whined and the other was a Suzuki 750 01 model that poped out of 2nd and it was warranty. but not at first it was customer has to pay for tear down and if it was something caused by the factory then the factory would cover it. it acted just like someone had been to the track and powershifting (this is why you hear so many 2nd gear failures)
opon tear down I found the clip the holds the gear had slid back and allowed the gear to walk on the shaft. the factry coverd every thing including a new shaft.
In your case if they tear it down they have to find a cause and a part that failed so what was it?
After you have this info they call the Factory and tell them. This is why you are not warranty what the dealer said to Suzuki.
What did the dealer say?
The main Question is HAS IT BEEN ON A TRACK?
also 1500.00 to undercut a tranny?
? STEP AWAY FROM THE BOTTLE YOU HAD TOO MUCH.
it is like 400-500