Obviously, there is tighter security in the city where they killed the lich, and going after wizards is always dangerous, but the party concludes it is much too dangerous (either course of action) and ends up getting items identified, crafting an item or two, and selling some loot from the last adventure. At the end of the night, they track down a couple of old enemies of theirs and end up beating them up (they knew these enemies were "lower level" and not a real challenge to them).
After all this, it just seems to me the party was afraid. "It's too dangerous" or "we'll all be killed" were mentioned a couple times.
How do you handle "party fear"? It kept the party in a state of inactivity for most of the evening, and in the end the party went after a couple of villains at least in part because they knew they could easily win the battle. It didn't seem very heroic to me, and I think I could use some advice to entice the party to "take a chance" or "fight the good fight".
Thanks!