Well, judging by your signature, its a Quark 125B, right? If so, I'm not sure on something like a user error, but if its defective, Sky & Technologies is usually pretty good about it. Quick too...
Sounds like the ESC's BEC popped when the + and - was shorted. I assume the ESC doesn't work now (after repairing the wire of course)?
If S&T doesn't want to warranty it, you could try something before spending cash for repairs:
Fix the wire. Then, use an Rx pack or external BEC but don't disconnect the red wire from the connector. Assuming nothing else blew (like circuit traces), this should allow the external BEC/Rx pack to power the low-level ESC circuits which would normally be powered by the ESC BEC.