Continuity mistake: Half way through the episode, the captain's office becomes covered by a wall. (00:24:55)
Continuity mistake: When the Cat is eating the food set out by Lister, there is a cloth on the table. When Lister is asking where the other kitties are, the cloth is shown near the centre of the table. Rimmer then says he wants it off the ship, and the cloth is suddenly further to the right of the table. (00:27:45)
Continuity mistake: When Lister goes into stasis, Todd Hunter turns the wheel on the door to lock Lister in. In the next scene when Lister awakes from stasis, he just pushes the door open without turning the wheel to unlock it. Even if we are to assume that Holly would automatically open the door, the wheel should still turn to unlock the mechanism.
Suggested correction: Lister can only see M-Corp products and M-Corp employees. Cat is not an employee of JMC or M-Corp, so he disappears. Lister is the only member of the crew who is employed by M-Corp at this point.
Suggested correction: Cat was a descendant of the cat Lister brought aboard Red Dwarf. Would it be possible that the new owners might have stricter security controls, and Lister was sent to Stasis for a different reason?
Andy Benham ★
Inventing Deux ex machina explanations for a plot hole doesn't make it any less of a plot hole. M-Corp erases all of the Jupiter Mining Corporation's equipment, personnel and infrastructure from Lister's life. In no way is Cat a part of that. He has no connection at all to the Jupiter Mining Corporation, and until he meets him in Episode 1 no connection to Lister, either.
If M-Corp only erased JMC equipment from Lister's life, then Kryten, who belongs to DivaDroid and not the JMC, wouldn't have disappeared either. He disappears as he doesn't belong to M-Corp, not because he belongs to the JMC. Cat has no connection to M-Corp, as he wasn't a part of the JMC (as you pointed out), and is therefore erased for Lister.