The dealer will be hesitant to refund any amount left on the warranty term, since they have derived income from it. This is why they call any refund amount the "unearned portion" of the warranty . It really depends on the warranty refund terms. Some do not even allow pro-ration after 30 or 60 days. Who is the warranty company? Does your buddy have the actual contract that he received? When I requested a refund, I submitted an email to both the issuing dealer AND the extended warranty company.
As Tony and Stan mentioned, there should be a refund. The pro-ration is usually based on miles driven or months remaining whichever yields a smaller refund of the dealers "unearned" portion of the premium paid. Also, if there is a loan on the vehicle, any refund is usually sent to a lien holder for principal pay-down.
Most of us have found out that the extended warranties are usually more a gimmick than useful. I usually get them when I get a used car to cover most items while I ensure the vehicle is not going to blow-up. Once, it has been given the one-over, I cancel the coverage and apply the refund to the principal on the loan.