the reason i am hesitant to take it back, is because this is the second lathe in a row with this issue... its hard for me to believe that i would get 2 bad lathes in a row from a company like rikon... (or am i being too forgiving?) ill take some video today if that would help?
I live in Australia and I have had a recent experience such as yours. I bought my lathe in June 2015. It was purchased from a company on the other side of Australia, some 2,700km away. Their prices with delivery were cheaper than buying locally.
I had a number of issues, starting with a motor failure within the first 3 weeks....they sent out a replacement motor. Then I had a switch fail on me....they sent out a replacement switch. Then a few weeks later, the motor failed again...they sent out another motor. A few weeks after that, the switch failed again. This time I had a good run of around 2 months before the motor failed again.
After contacting them again, they told me the guy who does the warranty work will get back in touch with me. When he did finally get back in touch, he spoke of a full refund. After further discussion, we agreed on a midi lathe as a replacement with the cash difference and they would pay for the freight.
Because of the cost of the return freight, they left the old MC1100 lathe with me. I now have a motor rewind company looking to see how we can get it back up and running.
If it was not for my persistence on following up the warranty, I would have been stuck with a lemon. So I urge you to follow through and contact the company concerned and see what they can do for you.
Dave.