I recently purchased the limited edition 2-disc Blue Sunshine DVD and noticed white smudges, and what looked like fingerprints, all over the silver/refective cover. It didn't look right so I exchanged it. The new copy had the exact same blemishes. Is this the way the artwork was designed, as both seemed to be factory-sealed?

My best guess is that it's some kind of chemical reaction between the foil artwork and the plastic case. Mine also looked like you described (the foil was fogged up in spots). I took the artwork out and wiped it with a barely moist paper towel, then immediately wiped it again with a dry one. Took a couple tries, but the artwork did become shiny again.

A few smudges did pop up again some time later, so it may no be a permanent solution. Very strange.