My 2 Year Old $2500 Compressor Just Died

My last compressor was a North Star 230V 5HP 2 Stage 80 gallon tank unit I bought from Northern Toos, and it lasted 15 years. I replaced it 2 years ago with a Champion compressor from TP Tools. I have a friend who has one, at it has worked well for many years. My new one is also 230V 5HP 2 Stage 80 gallon tank. Well, on Sunday, the motor shot out some sparks and smoked, and that was it. I called TP Tools and found out that the pump has a 5 year warranty, but the motor is only one year. I requested a supervisor and I told him how unhappy I was. I was very polite. I asked him how he would feel if he was in my shoes, and he agreed he would not like it. I told him that I had spent thousands of dollars there; tools, sand blasting cabinet, body work supplies, compressor..... I said I realized they would not warranty it out, but I expected that SOMETHING could be done. He said he would contact the supplier to see what they could do. The supplier said they would not warranty it out. I reminded the guy I expected that, but based on the amount of stuff I have purchased from TP Tools, and the fact the compressor was only 2 years old that something could surely be done. I am waiting for them to call me back. I'll keep you all advised. I will be very disappointed if they do nothing. I see no reason why they couldn't at least sell me a new motor for 50% off.
I took the motor to a well known repair shop, and was told the windings literally fried. The guy said that all the 230V motors on all the compressors being sold were garbage. The Chinese are slopping together motors that won't last. He said it was primarily due to how they do the windings. Something about the windings only being dipped in a minimum amount of resin and not being properly baked or cured.

Not saying that you did any of these, but there are several causes of electric motor failures that have nothing to do with the motor:
* poor ventilation , high heat
* high humidity
* dusty environment
* power surges, low voltage

For you the motor failed, not the pump, so its not all bad.
A motor is a motor is a motor, no one gets dealt nothing but aces.
pick up and move on, if the supplier did not stand behind their warranty, that is one thing.
To expect kingly treatment just because you buy their product, probably won't go far unless you are a commercial account and have a corporate purchasing relationship.
As mentioned in a previous post, I would go as far as verifying that the motor that came with the unit was sized properly and should have been a match to the load of the pump. If the compressor was not built properly, then you have something to go with. If the motor was the right one, just buy a replacement motor and the extended warranty.