gmac17 - 3:18 pm on Apr 15, 2008 (gmt 0) as always, talk to a lawyer.
I'm thinking your biggest problem is having offered to sell it to them for $1500. If you do in fact have a dated business plan that would be extremely helpful to your case. My gut tells me that you can't decide to throw up a rock climbing site after the fact to try to show you aren't profiting from it - that ship has sailed.
as always, talk to a lawyer.