Case Study Fossil

Andrew Kissner participated in International Insolvency Institute's podcast "Case Study Fossil." Fossil Group Inc. a US-based company that implemented a restructuring plan through its English subsidiary. This episode unpacks the Fossil restructuring plan and its significance for cross‑border insolvency practice.

The conversation explores how the plan offers an alternative pathway for resolving collective action problems, especially in light of U.S. constraints such as the absolute priority rule and the post‑Purdue uncertainty surrounding third‑party releases that has driven companies like Fossil to consider English restructuring plans.

The speakers discuss the English courts’ approach to the “sufficient connection” test and examine renewed U.S. debate over introducing a new Chapter 16 procedure—a proposal aimed at creating a streamlined mechanism for bond restructurings, addressing limitations of the Trust Indenture Act, and potentially offering companies a more efficient alternative to Chapter 11 in cases like Fossil’s.

The episode concludes with insights into how U.S. courts interpret the public‑policy exception when reviewing foreign restructuring outcomes, adding further nuance to the strategic forum choices companies now face. 

Listen to the podcast.