What a load of cr*p. Look folks you simply are not going to "rust injectors shut. " You can have water or debris damage to any type of injector, but in 30+ years of diesel service, I have NEVER seen a single injector "rusted shut. " Injector nozzles open by extreme pressure differential. . it would be about impossible to run enough water through them to rust them shut; I mean the engine simply would not be running by that time, because they just won't run on water. I have seen injectors that would not open due to severe internal scoring between the pintle and the nozzle tip, and 99% of those had debris in them from an injection pump failure (the debris gets pumped downstream, naturally. ) I have seen a a very few injectors that would not open due to severe overheating of the tips caused by operating without coolant.
(BTW, Has your buddy EVER changed the fuel filter on this rig? It would look really bad for his case if the fuel filter bowl was about 1/2 full of water, to say the very least. ) BUT If the water is there, but the light does not come on, he has a leg to stand on. If the dealer tests it with a little water and the light comes on... uh-oh.
If however there was NO water in the bowl, he is home free, IMHO. Case closed... Dodge should have to pay for it.
On the surface, this sounds like another case of the inherent problem with the Bosch CRD fuel injection system. You have all seen the Bosch study on inadequate American diesel fuel vs European diesel. . who would design a system to run fine on "perfect" fuel, and then knowingly release it for use in a country where THEY know the fuel supply is NOT up to snuff?
I will look up the link and post it at the end of this post.
This case also has that familiar rotten odor of STAR and a poor dealer are trying to gyp somebody once again. That is the major reason I do not currently own a 3rd gen Dodge, or a Ferd or a Chebby either!
Here's one link from just a few days ago:
http://www.heavydutytrucking.com/2003/10/078a0310.asp
Here's another one:
http://www.arb.ca.gov/fuels/gasoline/meeting/2003/022003bosch.pdf