Timing belt 'jumping' time??

Hi all, new to the forum and have a major problem.
 
We have an 04 Freelander SE.  We bought it CPO from the dealer just about 2 years ago.  We have approx. 70k miles on it, so it is still be under the extended warranty.  With all of that said, we were experiencing the 'disappearing coolant' issue, not leaking onto the ground, just not in the resevoir.  The dealer told us 'it's hot in FL so the hoses expand and the coolant is in the hoses, no problem'.  Well, we took it in twice for this issue, they said they pressure tested it, no leak, it's fine.  One month later, we take it in for a Check Engine light coming on.  The dealer calls us 3 days later and says the engine has seized up and that we now need a new engine because the timing belt has 'jumped time'.  Oh, and they are saying it's not covered by the extended warranty because it's a belt problem and belts and hoses aren't covered.  I've done lost of reading on this issue and have found that the coolant is leaking into the engine and that's what is causing the engines to fail.
 
So, they are expecting us to pay $8k for a new engine and labor.  Now, the car was driving when we took it to the dealership, and from what I've learned, the Check Engine light has nothing to do with the timing belt.  Does this sound fishy to anyone else?  Has anyone had luck with LR-NA replacing their bad engines?  We are going to employ an attorney if they don't resolve this quickly.
 
Thanks for any info. 

it probably did go because of the belt, timing belt breaks and engines gone. what did they say the check engine light was from, streached timing belts will cause cam sensor codes and lean codes... after 3 days they should have known, and you probably have a case, but make it to the dealership, not land rover, if they couldnt find a problem with the cooling system, and then it locked up because of a bad liner seal, then you had a cooling problem, they just didnt find it.

Look in the manual and see what the service interval for the timing belt is??

its 72000 miles. youre at it

Yes, we are close to the 72,000 mile mark and I'd agree that it might be the timing belt if we weren't experiencing the other issues first.  From what I've seen on this forum and others, coolant leaking into the engine and mixing with oil thus blowing the motor is a very common issue.  I'm curious to know if anyone has ever gotten LR to fix the problem for them. 
 
I called another LR dealer in the state to get some info about the Check Engine light.  I was told it was an emmission light and there's no way it would've come on because of the belt.  Between the time the light came on and the time we got it to the shop we had to drive it 60 miles -- from work to home then straight to the dealer.  Would it drive 60 miles if the belt 'jumped'??

this other dealer doesnt know what theyre talking about, yes, its an emmision light, however incorrect valve timeing will cause several emmisions related problems. did the engine go at the shop, or when you drove it?

It went at the shop.  We drove it in.

fight with the shop. find out what codes it had, and what the fix was going to be. if they were coused by the timing belt streching then they should have known not to drive it. also find out how many miles theyve put on it since drop off