Okay, I've seen this several times in the past, and it's generally due to poor acclimation (as others have said). With stars of all kinds, the slower the acclimation the better - since they use a water based hydrolic and vascular system, they are very susceptible to quick changes in water parameters, especially salinity.
I have saved a red serpent star that lost 4 legs completely, and the fifth down to less than 1/2". The important thing to realize is that the star will not be getting around much to scavenge its food, so you'll need to hand feed it small pieces of meaty food every few days (I used frozen krill). It took the star a couple of months to have significant regrowth of it's legs (about 1/2" during that time), but by then the star could get around and scavenge pretty well. Took most of a year to get full legs back, but 3 years later it's still going strong, so don't give up!
Kevin