Naturally, many longs were in on margin. RH asserted their right under their TOS to margin call without notice. This might be legal, but it looks like mining the retail investors for gold. I think it should NEVER happen. A firm like RH should instead gather its fortitude and fund itself to ride such events out, and ALWAYS give accounts five days to respond to a margin call. To do otherwise is to "undermine market confidence" in the words of the SEC.