I have owned one SOG, that would be the Gov-Tac with black blade. It came sharp, really sharp, and has a great fit and finish. No complaints about that knife. Maybe for 35 bucks you should have opted for a Buck, or maybe a SAK. For that price either one would have produced a good, usable knife with a good warranty.
As for your SOG, sent it back to the company and they should take care of you. They have been great with me over the phone and in my dealings with them.