The debate of the location is NOT the issue. They can be mount in a top location. This one was obviously a side mount from the factory. Slight debate on anode, some water demands an anode, some warranties will voided without an anode.
The TP was moved from the side and now it was likely the location of the leak.
As far as warranty not sure how AO Smith handles it. I did a warranty on a Richmond from Menards ....It had a pin hole leak at the top fitting that was hard to find and it was their fitting. The fitting was their check valve. DIY install, called, explained the issue, they gave me a return authorization, took it to Menards, they gave a new unit. No compensation for install labor, I was happy.