Do I need to settle for trademark infringement?

The answer is "it depends," and it depends on the totality of the circumstances  -- which you do not set forth. Among the factors that would go into a determination to settle, and for how much, are the nature and strength of the senior user's mark, the nature of the harm (if any) that the senior use has suffered, etc. May senior users demand payment and are willing to settle for the infringer's agreement solely to cease and desist. You should obtain counsel and have your attorney review all of the facts.