Green_Grass - 12:50 pm on Dec 9, 2009 (gmt 0)

I would be very surprised if you could work something out with adSense. I would suggest remove all ads from the site and wait for a couple of weeks, frustrate the extortionist ( as he goes to some other site ) and then put the ads back and hope for the best.

Unless you are premium publisher or some one with a good working relationship with the adSense team, you run the risk of being banned. The adSense team is not known to communicate well, listen to reason or apply any logical reasoning. At times their actions are bizzare and they take decisions to protect the integrity of their advertisers at the cost of any and every publisher. So be careful.