The director's 1997 film was critically derided and saw George Clooney and Chris O'Donnell take on the respective superhero roles.
Schumacher told The Playlist that he was asked to direct a sequel to the movie called Batman Triumphant, before Christopher Nolan rebooted the series.
According to the director, Batman Triumphant would have seen Batman and Robin fighting the Scarecrow, whose special powers make Batman see his former enemies including the Joker.
"I was supposed to do a fifth one. I was talking to Nic Cage about playing the Scarecrow. I had begged the studio for [the Frank Miller comic] 'The Dark Knight [Returns]', but they wanted a family-friendly, toyetic thing," he said.
"And I gave up a lot of money, but, no regrets. I have awards for selling more Batman toys than anyone in the world. I did my job. It was more family-friendly and it sold a lot of toys, and it supported the Warner Bros stores. But I did disappoint a lot of fans."
Nolan's The Dark Knight Rises is scheduled for release in 2012.
Watch the Batman & Robin trailer below: