Schmalz filed legal action against the WHA on behalf of the OMJHL in 1976, citing failure to pay development fees for junior-aged players Paul Heaver and Bob Russell who turned professional. Schmalz also said legal action to receive payments would be likely for a third player, John Tonelli. Schmalz later announced that an OMJHL team would represent Canada at the 1977 World Junior Ice Hockey Championships, and that the league would operate a small tournament within its schedule to choose the representative.