The key question here is whether he has something in writing from them. I think that the time the site has been up, plus the specific relationship he has would negate them being able to do anything in the realm they are discussing.

I presume they could take his right to sell their products away, but the domain is legally his, and they can't force him to give it up, no matter what.

This would be an interesting case though. I'm not a lawyer so I can't comment on specific issues here. But it simply sounds like they want to take his 8 years of work and simply use it to their benefit, and that won't fly in most courts.

__________________
We offer a total eCommerce solution with eCommerce Web Design using Pinnacle Cart