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thanks guys
the domain is pr2 at the moment, their .net domain is pr3, and they are way ahead of me on inlinks, so I'll have to do some work on outranking them on the domain name alone (although my .com is 7 years old vs. their .net is 5 years old)
should I put a 'this domain may be for sale, contact' message somewhere on the page?
in the meantime I have put up a simple website on the domain that is relevant to the domain name yet has nothing to do with their business, so I think they would have a tough case to make toward cybersquatting
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