Accusing Me of Unauthorized Use of Trademark - HELP!!

[nsg1000]

(sorry the title should be Accusing me of Unauthorized Use of Trademark)

Me and my partner were considering opening a skin products website. I searched for a domain name and saw that pureskinstore.com was available, and i registered it. We planned to sell skin products on the site.

That was a month ago. Today I received the following email:

From davis&leonard

On behalf of my cleint Salu, Inc., dba SkinStore I am writing regarding your use of the term "skinstore" in connection with the domain name pureskinstore.com. As the date of the letter the web page located at the domain name states that it will soon offer thousands of skin care products

Please be aware that SKIN STORE and SKINSTORE are registered trademarks of Sali, US REG.... As such, your use of the term "pureskinstore", "skinstore", or confusingly similar terms in connection with skin care related products or services constitutes actionable trademark infringement under 15 U.S.C 1114 unfair competition under California Business and Professions Code 17200, and related causes of action under US and california law

Accordingly, we demand that you immediately cease and desist form any use of the terms "skinstore", "pureskingstore" or any confusingly similar terms and transfer the domain name pureskinstore to us.

We look forward to a amicable resolution to this matter, and reserver the right to seek injunctive relief, damages, and all other available relief if such a resolution is not immediately forthcoming.



I couldn't believe this!! We just registered the domain, and basically said were "coming soon", and we get sent this letter. We had no intention of every infringing or breaking any law. What should I do? Should I just transfer the name to them to avoid the conflict? I just dont feel this is right, we never did anything to copy or infrige upon their copyrights. So far we have only sold one product on ebay!!!