Long, but interesting story
Pit Bull,
Here is my story on the subject. I had both rear axle seals go out. The only clue I had was the brakes where a bit grabby (usually only on the fisrt braking of the day). Anyway when it came time to rotate the tires I had the tire shop (les Schwab) do a brake inspection. Both sides had leaked enough axle fluid to coat everything. My truck had around 34K miles at the time. I called Dave Smith and made an appointment. Before going to the dealer I had both Les Schwab and Midas inspect things, so I knew what all was the problem, etc before going to the stealer and getting jerked around. Both Les Swab and Midas said the rear brakes would need to be replaced. I got estimates for a complete brake job (new shoes, turning the drums, new hardware and a warranty to boot). Just for kicks Midas checked the wear of the rear shoes and I had OVER 50% life still on the shoes. I decided that if the brakes were worn out I would pay for a brake job, but since there was still plenty of lining still left I figured why should I have to pay for new brakes? So I went to Dave Smith armed with this info (the brakes still had OVER 50% lining remaining, and the cost of a COMPLETE brake job) and here is where things got interesting. The drums where pulled and it was determined the seals where bad. The tech and service manager said brake shoes where shot as a result of the leaking seals. I said fine by me, the truck is still in warranty so fix it. This is when the service manager and I got into a :-{} . He said sorry only the seals are covered, DC does not warranty brakes period!! I said I see it differently, you agree that the failure of a warranted part caused the brakes to get ruined. That should not be my problem but yours & DC's. He said the brakes needed replaced anyway, they where worn out. I said hold that thought and presented him with the mic'd measurements Midas took on several spots on each brake shoe. I pointed out that according to the measurements the brakes still had pleanty of service life left, if it had not been for the seals leaking. The service manager then got really

and we took a trip to the warranty manager's office. No surprise, the warranty manager back-up the service manager on the premise DC does not warranty bakes under no circumstances (guess they all have to stick up for eachother

) I asked what it would cost to repair the brakes. I was quoted some ridiculous price and get this, they said that only the shoes needed to be replaced. Turning the drums was NOT needed since I ONLY had 34K on them, and the only time hardware needs to be replaced is if something is broke, PLUS there was absolutley NO WARRANTY ON PARTS OR WORKMANSHIP. I was told as soon as the truck left the shop I was on my own if any problems cropped up. I just shown them the quotes I had from Les Schwab and Midas, pointed out for the same price I got new shoes, drums turned, PLUS A WARRANTY. I told them what a crock of I TRIED TO BY-PASS THE CUSSING FILTER this was, and the brakes should have been covered IMO since a warranted parts failure also took the brakes out too. I said to just replace the seals and I'd be on my way.
They replaced the seals and put the drums in some machine (I assume a steam cleaner) and sprayed 4 cans of brake cleaner on the shoes.
After it was all buttoned-up the service manager had the gall to come find me and say they cleaned the brakes up really well and they will most likely be just fine because "the brakes on these new truck are metallic and don't really soak-up axle fluid like the old ones. Your brakes where not that badly soaked so you should be ok, if not come back and we will see about working out a deal to split the labor cost". Have you ever really wanted to puch someone? Well I was not going to give him the satisfaction of attempting to return some of the "attitude" I gave him all day. I simply said "don't worry I won't be back. "
I have since driven another 36K miles on those supposed "ruined" brakes shoes with no problems. Heck, I was thinking last fall they would be ready to be retired. I went and bought all the tools I would need to do a brake job, and when I popped the drums off they still had some service life left (but getting close to needing replacing). The only bad thing I found when inspecting the brakes is it looks like either the axle seals are going tits up again or the rear wheel cylinders are leaking. So I just adjusted the brakes and held off on a brake job until I have time to determine if it's the axle seals or wheel cylinder leaking. Sounds like a summer project for a day when I have nothing to do.
Sorry for the long story, but you might want to clean those shoes and drums really good and see how they work. The first few times I used the brakes after they where cleaned they where grabby and the truck kind of shook and bounced, but I've had no further problems.