Sludge in Navigator

Just bought a 2002 Navigator. Bought it from a Saturn dealer with new car warrenty (36000 mi) and purchased extended warrenty. After purchase had the local Lincoln service center inspect it and was given a "good" Passport Report. Drove it 4000 miles and the engine seized. Ford, the Saturn dealer and the extended warrenty company all say their warrenties are voided because there was sludge in the engine. I didn't have it long enough to even have it serviced but am having to buy a new engine ($6000).
Anyone else have a sludge problem with a navigator?
Love the car.

NO, never heard of "sludge" in the engine. Once its new it shouldnt have any. The Saturn dealer screwed you over, big time.

Post this problem on Craigslist, legal forum to get some advise on what recourse you might have against the dealer that sold you that f'd up engine.

http://forums.chicago.craigslist.org/?forumID=73

Mine has sludge. your not the only one. Mines in the valve covers. no where else. cant figure it out

Found out it was caused by The spark plugs, 2 were not firing. no status on whats going on w/ you doddje. tell us whats up.