Tether is facing a lawsuit in the Southern District of New York. Two entrepreneurs from Thailand—Nuttawat Rukhamachalern and Nattawat Kasamvilas—are challenging the freeze of about 42.4 million USDT, which they say happened without any court order or formal legal directive.

Who’s Suing and Why

According to the complaint, the plaintiffs want Tether’s actions—leading to their USDT stablecoins being blocked—declared unlawful. They argue that the restrictions were imposed without any court documents or an official order from a competent authority.

What’s in the Complaint

The filings state that on October 30, 2025, Tether blacklisted ten crypto addresses. The plaintiffs claim this move froze around 42.4 million USDT, cutting off their access to those funds.

Jurisdiction of the Case

The case is being heard in the Southern District of New York. At the heart of the dispute is whether it was legal for Tether to block those addresses and lock up the USDT, as the plaintiffs allege.