> If you buy a faulty ipad from apple, you can certainly get your money back, but you need to return the faulty device too

Sure, but Apple won't remotely disable your device until you turn it in for a refund. If you want to preëmptively cut off services, you should initiate the refund. That leaves the customer with a free (albeit broken) product. This is partly why few companies remotely disable devices after purchase, particularly as a retaliatory measure.