Store Frozen by a TRO: What to Do (and Not Do) in the First 72 Hours

A marketplace notice says your funds are frozen. Then an email arrives from a U.S. law firm with a complaint and a court order attached. For many cross-border sellers, this is their first contact with U.S. litigation.

The two most common reactions are to contact plaintiff’s counsel and pay in a panic, or to assume “a U.S. court can’t reach me” and ignore it. Both can make things worse. Here is what actually matters in the first 72 hours.

First, what a TRO is

A TRO (temporary restraining order) is an emergency order a U.S. federal court issues early in a case. In Schedule A cases, plaintiffs usually seek it without notice to defendants. Once granted, marketplaces freeze the defendants’ funds and the order typically bars sales of the accused products.

TROs are short-lived. Under Federal Rule of Civil Procedure 65(b), an ex parte TRO generally lasts no more than 14 days unless extended. During that window, plaintiffs usually move for a preliminary injunction (PI) to keep the freeze in place while the case proceeds.

So time is the most important factor.

Day 1: Verify the case and preserve evidence

1. Confirm the case is real

Scammers impersonate law firms to extract “settlements.” Look up the case number on PACER or CourtListener (free) and confirm the plaintiff, court, and status match the email. Our TRO Alerts also track newly filed cases.

2. Save everything

• The marketplace freeze notice (screenshots and the original email)
• All emails and attachments from plaintiff’s counsel
• Screenshots of the accused listings
• U.S. sales data for the accused products: units, revenue, and listing dates
• Purchase invoices, supplier authorizations, design files, and anything showing where the product came from

These records shape your settlement leverage and support any request to reduce the frozen amount.

3. Comply with the order

TROs usually require you to stop selling the accused products. You can delist as ordered, but take screenshots first and do not delete any sales records.

What not to do on Day 1

• Don’t contact plaintiff’s counsel or sign anything on your own. What you write can be used against you, and the first settlement number is rarely the floor.
• Don’t move funds or open new stores to get around the freeze. That can violate the court’s order and make things much worse.
• Don’t ignore it. If a defendant does not appear, the court may enter a default judgment, and frozen funds may be applied to it.

Day 2: Read the three key documents

You will usually receive, or can find on the docket:

• The complaint: who the plaintiff is, whether the claim is trademark, patent, or copyright, and the registration numbers
• Schedule A: the defendant list. Find your store name and the specific listings accused
• The TRO: what is frozen, what is prohibited, and the next hearing or filing deadline

Then answer three questions:

1. Does my product actually use the plaintiff’s rights? Is the mark in your title or images, does the design resemble the patent drawings, does the artwork come from their work?
2. How much did the accused products sell in the U.S.? If accused sales are far below the frozen amount, you can ask the court to limit the freeze to amounts tied to those sales.
3. What are the deadlines? Defendants generally must answer or move within 21 days after service. Note the PI hearing date as well.

Day 3: Choose a strategy

With counsel, choose among these paths:

• Settle: the most common outcome. The plaintiff dismisses you and the platform releases funds. There is no standard amount; it depends on accused sales, the strength of the evidence, and the plaintiff firm’s practices.
• Defend: if you don’t infringe, the plaintiff’s rights are weak, or there are procedural defects, you can fight. Procedural defects include improper joinder of unrelated defendants, an overbroad freeze, or improper service.
• Narrow the freeze: even if you plan to settle, you can ask the court to release funds unrelated to the accused products to keep operating.

On service: in May 2026, the Seventh Circuit held in Kangol that the Hague Service Convention prohibits email service on defendants in China (see our news coverage). This can affect how your case proceeds and is worth raising with counsel.

Common misconceptions

“It’s a small amount; it will unfreeze on its own.” A TRO often freezes the whole account, not just revenue from the accused products. Left alone, the freeze can carry into the PI stage or end in a default judgment.

“U.S. courts can’t touch sellers in China.” A U.S. court may struggle to enforce a judgment in China, but it can reach funds frozen on a U.S. marketplace, and for most sellers that is the real loss.

“Negotiating directly with plaintiff’s counsel is cheaper.” Plaintiff’s counsel represents the brand. Without an assessment of the case, it is hard to know whether an offer is reasonable, and easy to accept unnecessary terms in a settlement agreement.

Summary

The first 72 hours come down to four things: verify the case, preserve evidence, read the papers, and choose a strategy. Get these right and you will have far more control over settlement or defense.

To learn about our services, see TRO / Schedule A Defense & Settlement.

This article is general information, not legal advice. Every case is different; consult an attorney about your situation.