Great synopsis Bill.
Guys that have been in business for years don't stay in business because they sell bad products. As Bill stated, no one's perfect, and even the best of the best have occasional issues.
A 3 year old engine with 7000 miles on it is definitely not a newborn engine. From another engine builder's perspective, the first time I heard that the engine was on the track, instructional or not, all warranties would be off. Also, even without track time, 3 years is longer than most aftermarket engine warranties are valid for anyway.
Bearing problems usually present themselves immediately on the dyno. High
oil temperatures, loss of
oil pressures,
oil filters filled with metal/copper, etc. With oil changes at every 1500 miles (roughly 5 changes) did you see any evidence that anything was amiss?
By no means am I downplaying anything (or shifting blame) that has happened here, but again, there are two sides to any story. If I were in this position as a builder, I would want everyone to see both sides of the situation.
The internet is wonderful for advertising and sales. However, it can be an absolute punk as well. No one wants a bad internet reputation.