Report: Founding Family Eyes Return of Mervyn’s

Hayward, Calif. The founding family of Mervyn's LLC has agreed to purchase the defunct retailer's name and all of its Internet-related intellectual properties, according to the Wall Street Journal.

John Morris, the son of the department store chain's founder, Mervin Morris, along with his two brothers Jeff and Jim, agreed to the purchase in a sale that closed on Tuesday afternoon, the report said.

Four other parties secured most of Mervyn's house-brand portfolio at a bankruptcy auction, the report said. It did not name the total purchase price or the other four entities.

The brand portfolio purchased by the four entities includes three of Mervyn's best-selling brands: casual sportswear line High Sierra, women's fashion line Hillard & Hanson and young women's apparel line ellemenno, the report said.

Mervyn's filed for Chapter 11 bankruptcy protection in July last year and in October said it would liquidate after the holiday season after exhausting options that would allow it to stay open.

The privately held company operated 177 stores at the time of its bankruptcy filing.