You are wrong King: From the Dunlop website:
http://www.dunloptires.com/en-US/services/tire-warranty
WHAT IS COVERED AND FOR HOW LONG?
FREE TIRE REPLACEMENT
Any new DSST tire removed from service due to a covered warranty condition
or rendered not repairable due to a road hazard injury during the first 2/32" tread wear or 12 months from date of purchase, whichever occurs first, will be replaced at no charge. Mounting and balancing are included. Repairable punctures will also be repaired at no charge during this period. (Without proof of purchase, date of manufacture will be used to determine eligibility.)
PRORATED ADJUSTMENT
A tire not eligible for no-charge replacement that is removed from service due to a covered warranty condition or rendered not repairable due to a road hazard injury will be replaced on a prorated basis.
HOW WILL PRORATED CHARGES BE CALCULATED?
Replacement price will be calculated by multiplying the tire's advertised retailer selling price at the time of adjustment by the percentage of usable original tread that has been worn off. You pay for mounting, balancing, applicable taxes and any government-mandated charges. If a tire has a repairable puncture and is not eligible for no-charge coverage, you pay for the cost of the puncture repair.
EXAMPLE: If your disabled tire had an original 8/32" of usable tread wear and is worn to 4/32" usable tread remaining, you have used 50 percent and, therefore, must pay 50 percent of the current advertised selling price of the replacement tire. If the price of the new replacement tire is $160, the cost to you would be $80 plus any additional charges such as mounting, balancing, applicable taxes and any government-mandated charges.