If we're trying to define what qualifies as 'liquid damage', we need to be careful to observe the fact that handsets should be built to withstand reasonable wear and tear. If I carry my phone from my house to my car uncovered in drizzle, then I expect it to survive. And it does.

If, on the other hand, I were to get a bit too merry this Friday and spill my bottle of Tui on my handset, then it would be reasonable to expect that the warranty would be null and void. There's no simple answer as to where the line should be drawn.