jinx1812, have fun with the iPod... but do realize Microsoft is aware of and has "admitted" there is a problem. It's obvious this wasn't designed to function like this. That's why in June, Dave attempted to gather detailed information about the failure scenarios from customers... here's that same thread you've already posted in: http://forums.zune.net/486906/ShowPost.aspx
Yes, it's a shame that it's not fully resolved. I'm sure it's more complex than it looks and likely involves their MusicNet & content partners, and not just the Zune specific infrastucture. But yes, poor form on Microsoft's part on not having a decent solution for the customer service folks until the problem is fully worked out. Not sure why refunds/credits stopped being issued...
Anyway, for anyone still using Zune & Marketplace for music... stick to content marked MP3 for purchases, and Zune Pass if you are into subscription services like I am.