News that MGM Resorts International and Wynn Resorts are discussing a possible of sale Wynn’s Encore resort in Everett, Massachusetts, has Everett lawmakers expressing concern. 

The 2013 agreement allowing Encore’s construction states that neither Wynn Resorts nor the city shall transfer its rights or obligations without prior written authorization of the other party. 

On Friday, both companies confirmed they are in talks about a possible sale of the $2.6 billion casino, which is expected to open on June 23.

Under Massachusetts law, no company can hold more than one gaming license in that state. 

If MGM Resorts buys the casino, it would need to sell its Springfield property. The company was awarded the Western Massachusetts gaming license in 2014.

The news comes after the Massachusetts Gaming Commission’s review of Wynn Resorts’ suitability in light of the company’s failure to report sexual misconduct allegations against its founder and former CEO Steve Wynn. 

A month after the suitability hearings, the commission issued a $35 million fine against Wynn Resorts and an additional $500,000 fine on CEO Matt Maddox, stating the company can retain the license if it agrees to the fine and multiple conditions.

The company has until May 31 to pay the fine or appeal the decision.