Help wanted! A competitor is using our compagny name in domainname and sourcecode

A competitor is using our compagny name in domainname and sourcecode.
This trick got him a number 2 ranking in the search results on the firstpage on Google, when searching for our compagny name.

I' ve tried all legal ways to stop him for using our name, but we can't fix it because of some bad legal terms from the goverment that work in his favour.

Many of our clients are struggling to figur out who's who, and many of them think we the same compagny on different locations because of the way they build their website,
and we also sell the same products.
It's a small compagny so every client they get from us is extra for them, we have 1000 visitors per day, but it' s a time of economical crisis and every client we
lose is very bad for us. They also sell the same products.

We have a corporate website, a webshop, a few good incoming links and things like Twitter and Facebook.
We used to have all postions on the firstpage from Google, but now their website has reached the second place.
I don't even want to think of the moment they will reach first place...

I think because we have websites that are more that 10 years old, Google thinks where the same guy's as our competitor.

I' ve read about scrapebox and xrumor in several forums on BHW, but that would harm them or us, so that's no option.

Ideas anyone, they are very welcome! Thanks!

Well, IMO, 9/10 top spots is still a great achievement!

If the law is helpless and you can't do anything very negative, you got to live with the competition. As a small-time site going that high (#2) effectively, I think they have taken care of everything that you'd do to them. The owner must be a great BHat'er, I think.

There are plenty of fish in your pond, so co-live unless you can do better.

P.S.:

Unless you reduce their PR-5 which is a result of many things, they won't be shaken from that #2 position.

P.P.S.:

IMHO, you shouldn't have so openly revealed about the sites. Now you'll have more competition as the strategy is made public. BHW gets thousands of visitors every minute from everywhere and many will get ideas from this. IMO again, get this thread removed as quickly as possible (if at all possible), and contact some top member in the field who can advice/help you in the most effective way.

send google a complaint about the website.

check out this link for info: http://www.google.com/transparencyreport/removals/copyright/