Skip to content Skip to left sidebar Skip to right sidebar Skip to footer

ISC, NSN part ways; NSN still claims festival ownership

The partnership between the International Storytelling Center and the National Storytelling Network ended in federal court April 26 when Judge Marcia Phillips Parsons approved the ISC’s motion to reject three contracts in place between the organizations.
The NSN withdrew its objection to the motion the day before the hearing, which was noted by the judge in granting the termination. The agreements were established when the organizations split years ago from the entity named the National Storytelling Association.
ISC’s lawyer Mark Dessauer, of Hunter, Smith and Davis, said he did not know if the pleading filed by the Town of Jonesborough in support of the motion played a role in NSN’s withdrawing its objection.
A press release issued by the NSN addressed the pleading by describing the statement made by the town regarding the NSN not supporting the businesses and residents of Jonesborough as “not entirely true.”
Also not entirely true, Dessauer said, is the NSN’s claim in its press release that, “since intellectual property and ownership rights are unaffected by bankruptcy proceedings,” the NSN will continue to own half of the National Storytelling Festival.
“My client would vigorously dispute the legal accuracy of that statement,” Dessauer said.
With the NSN relationship dissolved, the ISC will focus on developing its reorganization plan.
Parsons approved the ISC’s motion to extend its exclusivity period to file a reorganization plan for another 120 days, moving the deadline to Sept. 28.
Dessauer said a number of options are being considered by the ISC.
“Our main issue is addressing the refinancing of the building,” he said.
Plans also continue for this year’s National Storytelling Festival as ISC maintains its debtor-in-possession status, which enables the ISC to retain possession and control of its assets until the plan of reorganization is confirmed, the case is dismissed or converted to Chapter 7, or a Chapter 11 trustee is appointed.
Dessauer said he doubts any action at the Sept. 28 hearing would jeopardize the 39th annual festival to be held during the first weekend in October.