Reported / Citable
Background
Six putative class actions alleged that Catalyst Brands LLC and JCPenney failed to use reasonable security measures to protect sensitive employment-related information. The plaintiffs claimed that a June 2026 data breach exposed names, W-2 tax records, Social Security numbers, and other personally identifiable information belonging to hundreds of thousands of people. The Feldman action also named Authentic Brands Group, LLC as a defendant.
The plaintiffs moved to consolidate the six cases under Federal Rule of Civil Procedure 42(a), appoint Gerald D. Wells III and Raina C. Borrelli as interim class counsel, stay pleading and other deadlines, and establish a 45-day deadline for a consolidated complaint. The defendants consented to consolidation, the requested stay, and the proposed pleading schedule but took no position on the selection of interim class counsel.
The Court’s Holding
The court granted the motion in part, consolidating all six actions for pretrial proceedings and trial. It found that the cases arose from the same alleged data breach, asserted overlapping claims for similarly defined putative classes, and sought similar relief. Consolidation would conserve resources, reduce the risk of inconsistent rulings, and cause minimal prejudice because the cases were at the same early procedural stage.
The court designated Feldman v. Catalyst Brands LLC, No. 4:26-cv-00649, as the lead case and directed that future filings be made under the master caption In re Catalyst Brands LLC et al. Data Breach Litigation. It appointed Wells and Borrelli as interim class counsel under Rule 23(g), giving them primary authority over pretrial strategy, discovery, settlement negotiations, communications, and delegation of work among plaintiffs’ counsel.
The court denied the request to stay pleading and other deadlines. It nevertheless ordered the plaintiffs to file a consolidated class-action complaint within 45 days and gave the defendants 45 days after that filing to answer or otherwise respond.
Key Takeaways
- Six putative class actions arising from the same alleged JCPenney-related data breach were consolidated for all purposes, including trial.
- Feldman became the lead case, and all future filings must be made under Master File No. 4:26-cv-00649.
- The court appointed two attorneys as interim class counsel but declined to stay existing pleading and other deadlines.
Why It Matters
The order centralizes control of overlapping data-breach claims at an early stage, reducing duplicative discovery and motion practice while limiting the risk of inconsistent decisions. It also establishes who may act for the plaintiffs and putative class during pretrial proceedings.
The appointment does not certify a class. The court expressly emphasized that there are only putative class members unless and until class certification occurs.