The problem is the they want like a dollar per month to give you one email address. "
That's a perfectly reasonably business model. Renting email addresses is quite clearly "using" a domain. It might not be a hackernews/startup-web-business, but they've thought of a way to try and make a living and registered the domain first - what makes you think you have any sort of claim to "have rights to own taht domain" than they do?