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MP3 player Refusal to honour warranty - fair?

I've just had an MP3 player, which was faulty and sent back to the seller (a reputable online store with whom I have had multiple orders and so far no problems until now) under their RMA system, returned to me with a notice saying the warranty was void. The reason they give is that a sticker on the back of the MP3 had come off.

The MP3 was 11 months old (the warranty is 12 months) and I admit had been used during those 11 months as opposed to sitting in pristine condition in it's box. The fault with the MP3 was that the software had broken - it locked up and failed to go past the splash screen - that is the screen that shows the manufacturers logo when it's switched on before the menu appears. The reason they cite for the warranty being void and the fault are totally unrelated in my opinion.

Are they within their rights to refuse to honour the warranty? I'd appreciate any advice people may have on how I should proceed.

Although the value has no significance to the rights etc, I just want to point out it was a 20GB MP3 player costing over £100 at it's time of purchase and not a cheaper USB stick one, therefore it's a fair amount of money for me to lose.
Alex Jones

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