First of all, piracy is a form of RP encounter. Nothing OOC or OORP there. You were given proper inRP conversation and if you weren't interested in PVP you could have give them what they asked for. If you didn't have any credits, you could've just go and ask OOC like: //Hey, I don't have any credits, could you let me go?;
Though if you had credits, this is bad way to attempt to get out of piracy. It's same if you avoid encounter after you realized you will be blown up except, if it is really real life matter that forced you to leave the encounter.
Second, their business was already clear as they made a demand for you.
Third, if you wonder if that is okay, they gave you like 30 seconds to comply and asked for one million. I for example ask from 3 to 10 millions depending on the cargo and sometimes, if my RP obliges me, I demand all of cargo to be jettisoned and destroyed. If I face trader that is very poor, like in freighter, I ignore it.
If you want to avoid piracy, I suggest making some good routes.