Alex Palou ordered to pay a large sum to McLaren

The Alex Palou vs. saga McLaren The saga has finally reached its conclusion. The London Commercial Court delivered its verdict on January 23, 2026. Zak Brown's team will receive $12 million in damages from the driver. To understand the origins of this case, we must go back to the summer of 2022. Chip Ganassi Racing announced that Palou had renewed his contract for the following season, a claim quickly denied by Palou himself. A brief legal dispute between the parties was ultimately settled amicably. It was agreed that Palou would leave the team at the end of the 2023 season to join Arrow McLaren in 2024.

When it became clear that no F1 seat would be offered to him, Palou – who had signed with the team hoping to one day join the Formula 1 – broke his contract with McLaren to stay with Chip Ganassi Racing. He then won two more titles with the American team, in 2024 and 2025.

"I was very upset, worried and angry that McLaren had recruited another rookie driver instead of me (Oscar piastri(Editor's note), Palou explained last October in comments relayed by MotorSport Magazine. “I asked Monaco Increase Management to speak to Zak [Brown] to find out what was going on. On September 22nd, he told them they needed someone fast for 2023, but that it wouldn't interfere with my chances of getting into F1. Zak told me it wasn't him who had decided to hire Oscar, but Andreas Seidl. He assured me my chances weren't affected, but I knew everything had changed.” continued the winner of the 2025 Indianapolis 500.

At one point, they were approached by Racing Bulls, then named Alpha TauriHe had not been selected either. “Helmut Marko was open to the idea of ​​me driving for them, then suddenly he wasn’t anymore. Zak had called Helmut in the meantime… I don’t know what happened, but it didn’t help.” Palou was furious. Since then, relations between him and McLaren have been strained, fueled by resentment and legal attacks.

Disappointment for Álex Palou

Since October 2025, the protagonists have been battling it out in court. McLaren was demanding $25 million from the driver for breach of contract, while Palou accused Zak Brown of making false promises of Formula 1.

The court has finally ruled. Palou will not have to pay for the alleged losses incurred by McLaren F1 as a result of his decision to stay with Ganassi. However, he will have to pay $12 million in damages, corresponding to the losses suffered by the team.IndyCar Arrow McLaren, wronged by the Spaniard's sudden about-face.

Alex Palou expressed mixed feelings about the verdict. The court dismissed in full McLaren F1's claims against me, which previously amounted to nearly $15 million. he rejoices nonetheless. I would like to thank Otmar Szafnauer for his expert help. The court's decision shows that the claims made against me were completely exaggerated. It is disappointing that so much time and money were spent contesting these accusations, some of which were deemed baseless by the court, simply because I chose not to drive for McLaren after learning they would not be able to offer me a Formula 1 seat. »

He nevertheless deplores the court's final decision. I am disappointed that damages have been awarded to McLaren. he regrets. They have not suffered any losses considering what they have gained thanks to the driver who replaced me (David Malukas). I am currently reviewing my options with my advisors and have no further comments at this stage. I am looking forward to the upcoming season with Chip Ganassi Racing. »

Zak Brown is satisfied

The IndyCar champion can nevertheless count on the unconditional support of his team.Alex has our full support, today as always. Chip Ganassi Racing affirms. We know our driver's character and the strength of our team, and nothing changes that. While we respect the legal process, our priority is exactly where it should be: racing, winning, and doing what this organization has always done best—competing at the highest level. We are fully focused on winning another championship and defending our Indianapolis 500 victory. That's where our energy is going, and that's also where Álex's focus is: on the track, doing what he does best—winning. »

For his part, Zak Brown expressed satisfaction with the verdict. This is a perfectly fair result for McLaren Racing. he declares.  As the judgment shows, we have clearly demonstrated that we have fulfilled each of our contractual obligations to Álex and fully honored what had been agreed.  We thank the court for recognizing the very significant commercial impact and disruption suffered by our company due to Álex's breach of contract with the team. »

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