Court Grants Order to Freeze Hashfast’s Bitcoin Wallets

[sgk]

A court in Fort Worth, Texas, has granted a temporary restraining order to freeze the bitcoin wallets of ASIC mining hardware manufacturer HashFast Technologies LLC and HashFast LLC, after a customer claimed it failed to deliver hardware on time or negotiate a refund.

The TRO was part of a wider lawsuit filed against HashFast on 27th March by Cypher Enterprises, who claim it ordered and paid HashFast for several items of bitcoin mining hardware in early October last year. The complaint says HashFast failed to meet its promised delivery date later that month, prompting Cypher Enterprises to cancel its orders.

Source:
http://www.coindesk.com/court-grants-order-freeze-hashfasts-bitcoin-wallets/

I guess someone had to do it! Suppliers like HashFast and BFL have to be sued over their negligence over their customers' pre-orders.

[Zillions]

Wait how can they "freeze" their Bitcoin wallet? do they have acess to their private keys or is their bitpay account the one that's frozen?

[idrive240]

contempt of court
if a US judge says dont move funds ,,don't move funds

[troy112]

Well, good news after all. Now they will know how to delay a customer. Let them have a hefty law suite.

[sgk]

What I don't like is teh way they treated the customers after the delay. They did not respond to queries, did not offer compensation for delay; and in this particular lawsuit they're even denying the customer purchased anything from them! Talk about new heights of arrogance, beating BFL.

Wait how can they "freeze" their Bitcoin wallet? do they have acess to their private keys or is their bitpay account the one that's frozen?

That's an interesting question. How would you know how many addresses they are using and which ones?

[bryant.coleman]

Wait how can they "freeze" their Bitcoin wallet? do they have acess to their private keys or is their bitpay account the one that's frozen?

It is not possible to freeze them, as the cops don't have the private keys. Perhaps it is the Bitpay account which is frozen.