G'day Paul and Jack
I've seen a couple of these new engines with damaged pto shafts when basically brand new ,both
machines were taken back to the place of purchase for a full refund, otherwise it may be worth getting
in contact with Consumer Affairs.
The engines that I looked at were on Wood Chippers ,the drive assembly coming loose
on the crank on first use and not an operator misusing the equipment.
If it's damaged from the third time of use and hasn't been damaged from misusing the equipment ,I
would contact the supplier for a free repair , replacement or full refund.
Cheers
Max.