I'd just stick to the fact that she wad going to give you money to fix the handlebars. She makes it sound like she's a generous person to offer, seeing as the damage didn't exist before you collected it, when in fact I'd argue that she's using the 40-odd dollar 'refund' to buy you off in the hopes that you'd take it and not go any further. If she was certain of no damage, she wouldn't offer a refund full stop.

If you want to use her tactic however, you could always offer to accept a refund in total but less the $40 so she can replace the handlebars herself before reselling. Not that you should have to by any means, but then it also shows her that you're on to her and her games...

I love most that in her mind, a $40 replacement is enough to make you happy with a lesser model pram - really love, is that the only difference between the two models?! Duh!

Hate it when other Kimberley's give us all a bad name!!