If you find VW messing you around regarding engine replacements, get on twitter and comment on every photo they post on Facebook. VW want to protect their image of reliability so you will find head office will step in to fix the problem t shut you up.
Make sure you also get an extension to your warranty to cover drivetrain (engine and gearbox). I believe VW give a 5 year drivetrain warranty in the US as standard, no idea why us poor Europeans shouldn't have it.