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They are not refusing to repair.
Whereas RROD was a HW error, a defect in all the machines, the YLOD is caused by a variety of factors, not just one in particular. Specifically, YLOD is caused by certain problems, like poor ventilation, abuse, dustiness, and filth, as well as overheating.

The problem here is that a lot of people put their consoles in an entertainment center...which is a horrible horrible idea. You ever feel how hot it gets inside those? Not to mention electromagnetic interference from other electronics, the basic design for entertainment centers induces a sort of dust funnel, with lots of electronics fans and exhaust all running together.