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The FAQ section in README.md could also clarify this up front: "Q: Is this official/endorsed? A: Nope"

Would it be legal though considering their brand name is still being used as part of the name?

IANAL, but I believe it would fall under fair use, specifically nominative use: https://en.wikipedia.org/wiki/Nominative_use

The existing name might 'suggest sponsorship or endorsement' by Elementary Inc, but my version does not.

Thanks that's a great link.

Yeah that would be fine. :)