lorax - 12:43 pm on Jul 27, 2012 (gmt 0)
It will be duplicate content unless they exclude the bots using robots.txt. It's a tough question if they aren't willing to do this. Exposure versus the possibility of rankings.
Have you searched for a unique phrase out of your own content to see who has scraped and published it? If they're small they probably won't get much traction with it but the site you mention above sounds like it might have some better authority and therefore giving them your content might mean they outrank you for your keywords.