Iphone 5c glass popping out

My wife has an iPhone 5c that is only one month old.  The glass popped out of the case and when she tried to pop it back in the glass cracked.  We took the phone to the local Apple store looking for assistance.  There is clearly a defect with the phone, as it is new and has never been dropped, damaged, etc.  I have always received great customer service from Apple but today was the exception.  The Apple employee informed me there was nothing he could do and it would cost me $120 to repair the phone.  I told them there was a defect with the phone, in fact the local AT&T store told me they have seen this problem with the 5c multiple times.
I spoke with the manager at the Apple store and explained the problem with the phone and told him that the cost to repair the phone was unreasonable, as the phone is defective and the repair cost is more than we paid for the phone.  To add salt to my wound, the Apple employee tried popping the glass back in, he completely broke the glass, and made the phone completely useless.  The manager's response was, "well it would have happened eventually." 
Needless to say I am totally shocked by the horrible customer service I received.
Anyone else have this problem with the iPhone 5c and do you have any suggestions?

When did you purchase it? You get a year of hardware coverage unless they say it's accidental. Do you purchase apple care? I'd take it into an Apple store.

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