Dune Acquisition Corp., a blank-check company that sued merger partner TradeZero Holding Corp. for fraud, has dropped the case about three weeks after calling off the transaction and disclosing a $5 million settlement.
The two companies docketed a filing Monday in Delaware’s Chancery Court, where the special purpose acquisition company accused TradeZero last year of duping it into the $556 million deal with bogus financials before trying to run out the clock and pass on the substantial cost of canceling it.
The dispute was part of a wave of litigation prompted by SPAC mergers, called de-SPACs, which combine a publicly ...