Do you pay CitySearch to be listed?
If you do I would stop immediately as they are bracketing your listing with paid advertising of competitors.
Service Magic is nothing more than a pimp for contractors and I assume the other listing is very similar.
When someone clicks on Service Magic they go to a screen where they input their zip code and other information. Service Magic then sends a page to the applicable contractors in that area for them to pursuit. The contractors have to pay for each lead sent to them whether they do the work or not. Some tales of riches and some tales of horror come out of it. But it all boils down to Service Magic is nothing more than a Pimp.
If you do not pay for the listing I'm not sure what you can do...
Your lawyer will probably end up saying it is legal...
Best thing I can say is make sure that your advertising is effective and the chances are that the effect of citySearch will be minimal.
Do your best that you come out on top of the search engines results above City Search and their effectiveness will be minimal.
Now if they come out above you in a search then you have work to do.
A look at google says your okay...
CitySearch doesn't even make the 1st page except your mention of them...
They are losers!