It all depends on the kind of abuse the device has seen. I see modern game consoles with dead harddrives all the time. As for computer harddrives, it's even more common. All it takes is someone to kick/punch/drop or shock their machine in any way and read/write heads will slap the platter.
While I'm not excusing people who lie about such issues, I'm just saying it's more common than you might think.
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