Bad faith is rubbish and should be argued to the fullest, you're allowed to sell domains the sooner the people judging know that fact the better - Nominet seem to, perhaps they should pass that advice on to the judge more often?
In recent months I have sent one or two heat seeking emails to relevent companies about the domains, the buggers never seem to respond though - probably because it gets deleted by minor staff, I'll have to do phone work next time.
Bad faith in my view is trademark and proper trademark distinction and carry off not simply helping out a company because you have the same domain as them in another extension. Give the company a ring if you feel it's right to do so, or just park it and hope someone comes in for it.
Have a look through the DRS lists on Nominet and you'll soon see how dodgy your reg is when offering it, the decisions are glaringly obvious in most cases. Yes the worst that can happen is you lose the domain. Mediation occurs before the complainant has to pay £750, so you do have to do the leg work but do the right leg work and it might pay off.
Alternatively they'll just go right through to the end, preferring to give a company money rather than you and hope to win, and even if they lose they won't care as it's only money. I'm still very wary of reprocussions but I hope I understand things a little better these days, I still dread the idea of a DRS for whatever reason but then I wouldn't have regd cadburychocolate last year and I wouldn't have done so this week either...
