If a theme has persistent and serious bugs or security-related flaws that may harm a website then extreme actions are justifiable. On the other hand if a theme has features that threaten the business interests of other theme developers, that is an entirely different matter. As previously suggested, it would be appropriate for TRT display a warning in the theme directory. In this case I see TRT as taking an action that is entirely out of proportion with the problem. As William Bergmann suggested there is an easy and more appropriate way to handle the problem. TRT is causing a problem where there does not need to be one. TRT's action in this case also damages the credibility of the TRT itself. It gives the appearance of one group of businesses using the TRT to wage war on a competitor. That's a bad place for the WordPress community to find itself.