Yeah 1.03 is the last one they did. I just can't think of another way to test that the internal MIDI data workings of the unit are on point. What you described could be that just as easily as a mechanical issue. Especially if they saw little to use as opposed to getting rocked up and down daily. But they never saw that much action so I don't know.
Yeah I didn't see a firmware download either. But if you look in the firmware pdf it says how to toggle the MPD32 into erase mode and then fire up the Vyzex app, then the Vyzex handles the downloading of the firmware file and it's application to the MPD32.
One other thing, is this on all your software or just a certain host or instrument? I'm trying to think of any possible host related MIDI problems that would cause the strange fader behavior. Because like you said you didn't go all crazy on them with wear and tear, so I'm trying to think what else could cause that.