<<Now, I was under the impression that I cannot use the title
d20 Modern in my own product title. I could not produce a
supplement called "d20 Modern: Custom Hero." That
would be in violation.
>>
First, you'll have to contend with the "no character creation" part of the d20 STL. If you can make your product with that in place then you'll have the following signals of compatibility at your disposal:
1) the cover can say: "“Requires the use of the d20 Modern(tm) Roleplaying Game, published by Wizards of the Coast, Inc.”"
2) you'll have the d20 logo
3) you can call your gaming product: "Modern Roleplaying Character Customization"
I think that would sufficiently beat people over the head about the nature of your product.
Lee