[citation][nom]and[/nom]... and i noticed that when my sister lifted it up rather gently while a game was playing to get a magazine underneath it, it scratched my game rather badly...[/citation]
Sounds like your problem is with your sister, not the XBox.
Here's a suggestion to all XBox owners, find a place you can put your XBox where it will be left alone, and DO SO! Stop moving the thing. Invest in some wireless controllers, stick the XBox on your entertainment center, and leave it alone. Why are you moving these things when they're on? The only time I've ever moved a console while it was on was because of the cords on the controllers. You jump up and yank the console, or someone trips over the cords and yanks the console. If you simply leave the XBox in a good spot, it NEVER has to move. If you are still getting scratched disks after that, THEN you have a case.
I'm going to go home, put a CD in my computer, and when the drive spins up, I'm going to shake the shit out of my computer case. Then when the disk gets scratched, I'm going to file a lawsuit against Lite-On or Samsung (or use 2 CDS and sue both), its the only reasonable thing to do.