Its too bad the paint only lasted 4 years but the car is exactly that 4 years old,he's lucky they even are willing to pay 50%,if it started peeling within a year of the car rolling off the lot then i can imagine warranty or not they would cover it.That's like buying a pair of shoes and then trying to get them replaced for free because the laces got dirty.(for lack of a better metaphor.)

and at the end of the day if you go through the chain of command and they say "sorry this is the best we can do." ? Sounds like you're stuck with the offer they made.