Hi,
My Step-Mom's received a new Kobo eReader last year for Valentine's Day. After a few month's, it stopped working for her for whatever reason. She contacted Customer Service and her device was replaced with a "Refurbished model RG-N467-S. From my experience, any refurbished electronic device only has a short-term life span.
Ok, after a few more months, the refurbished replacement developed image burn - from the middle to the bottom - 1/2 of the screen. I just wanted to post that yes, image burn does happen on a Kobo ereader ... FYI.
She will be contact Customer Service, again, to have them replace it with a New device which is what she orginally had.
Photos of the burn are here:
https://plus.google.com/u/0/photos/1...44304952320017
Cheers!