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Well, i didn't charge mine over night, was listening to it in the evening while doing some chores and all of a sudden it stopped playing, Blank screen and permanent Blue light. I tried to turn if off but it didn't respond so i left it. In the morning, it went off itself (guess the battery was low). So i connected to the computer and inserted the ZEN CD. As i was exploring the CD looking for a solution, then all of a sudden the screen came up with a note "Rebuilding..." after 5 secs it came on. With all my files intact!
I hope this wud be helpful, You could give it a shot, after all there's nothing to loose!
take it back to the store and change it for a new one. sometimes the device can be damaged in the warehouse. i had to return the first one i purchased for same reason. hope you still have receipt. good luck!