selling counterfeit Coach Handbags on ebay

I found some Coach handbags online thinking they were authentic. I listed them on ebay. Ebay retracted my listings, then I received an email and later a letter from a law firm saying I need to give them all the handbags, stop selling Coach items, give up my supplier, and pay them $750 for their trouble. They also want me to sign a paper saying I won't ever sell anything that says Coach on it. I never sold any of the items. I got rid of the stuff after I found out if could be counterfeit. Should I pay them? I don't have that kind of money. I'm just a hick girl from a hick town that apparently can't tell what's real & not.

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