If your looking to warranty and who is to blame, I would imagine that it was just an accident.
If it was my home, I would never have left the hose attached during the winter. This could have caused water to back up into the pipe that would have normally drained. I always also use those insullated spicket insulators for winter time to protect the pipes. I live in Texas, so if you live up north, you should have done alot more.
When repairing this hose, I would consider adding one of those anti siphon devises that will drain all the water from the pipe after each use. They are not cheap, but the problem would not happpen again.
I am only glad you were there to quickly cut off the water.