Schulte, a law firm, has filed a lawsuit against a SPAC for not paying fees related to a unsuccessful merger between two Philippine casinos.

A legal firm in the US, Schulte Roth & Zabel, is taking legal action against their former client, 26 Capital Acquisition Corp, in order to retrieve over $1.9 million in fees for their services. This comes after the special acquisition company’s unsuccessful attempt to merge with the biggest casino in the Philippines.

On Tuesday, the law firm requested that the Court of Chancery in Delaware prevent 26 Capital, a SPAC, from dissolving until it has paid its purported legal fees. Schulte provided counsel to 26 Capital regarding its intended $2.5 billion SPAC merger with Okada Manila, a subsidiary of Universal Entertainment in Japan.

A judge in Delaware’s chancery court recently denied the request to compel Okada Manila to finalize the merger, citing instances of inadequate disclosure in the agreement. The judge deemed that 26 Capital’s actions should not be incentivized by mandating the completion of the merger.

If the deal had been finalized, the casino would have earned $275 million.

According to the firm’s statement, it is stated that they have the right to receive the fees they have earned for the significant amount of work they have done on behalf of 26 Capital. It is also mentioned that 26 Capital is not allowed to pay back investors before making arrangements to pay their creditors.

The representatives of 26 Capital did not promptly reply to comment requests.

26 Capital announced last week that it would completely disband, selling off its assets and giving the proceeds to its shareholders. The company’s lawsuit claims that this action would prevent Schulte from receiving any outstanding legal fees.

According to Reuters, Schulte, a law firm with over 300 lawyers across New York, Washington D.C., and London, has invested considerable time providing legal services related to finance and mergers for 26 Capital.