Former McLaren F1 star issues statement after legal battle with former team

A settlement has been reached after a legal decision regarding a former McLaren F1 star ruled in the favour of McLaren Racing earlier this year.

McLaren and Zak Brown found themselves in court in London in the latter stages of 2025 after issuing legal action against former racer-turned IndyCar champion Alex Palou.

Now 28 years old, Palou is a four-time IndyCar champion with all four titles earned with Chip Ganassi Racing, but the Spaniard had previously been on McLaren's books, and even competed in an official F1 session for the Woking-based outfit.

Palou took to the track at the United States Grand Prix in 2022, and was even initially named as McLaren's reserve driver for the 2023 F1 season, behind Lando Norris and Oscar Piastri.

But McLaren opted to take the Spaniard to court after he backed out of a contract signed with the team to move to their IndyCar team for the 2024 season, instead inking a new deal with Chip Ganassi Racing.

Palou informed the team in August of 2023 that he had 'no intention' of honouring the contract he had signed. The 28-year-old later cited his belief that the team could not provide him with a pathway into a full-time F1 drive as his reason for breaching the contract.

Following the legal proceedings, the UK court ruled in McLaren's favour, and judged that McLaren were owed a sum in excess of $12m (which Chip Ganassi Racing said they would cover rather than Palou).

And now, a settlement has been reached between Chip Ganassi Racing and McLaren Racing, with Brown expressing that he was grateful to be moving on and going racing in IndyCar for the 2026 season.

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Palou settlement reached

Palou has now released a statement via social media, expressing some regret over what he and the parties involved have had to deal with over the past few months and years.

"Over the past few months, I've had time to reflect on what has been an incredibly challenging period, and I want to address it directly," Palou said in a statement on X.

"First, I want to acknowledge both Zak Brown and Chip Ganassi. Both were put in a difficult position, and I regret being in the middle of that. Also, in January, a UK judge ruled in McLaren Racing's favour regarding my IndyCar contractual breach. I respect that decision.

"I also recognise that the way events unfolded in the summer of 2023 could have been handled differently," Palou continued. "While little of this is publicly known, I found myself pulled in various directions and had the wrong people around me back then who I believe did not have my best interests at heart. I believe back then that I was provided with the wrong advice or no advice at all.

"In hindsight, had I reached out to Zak directly, perhaps things may have played out differently, McLaren and Zak supported me in many ways, they fulfilled every obligation, went above and beyond and delivered on everything they said in their contracts. I was never misled by McLaren and I very much respect their organisation.

"I also want to thank Chip, my team-mates, and everyone at Chip Ganassi Racing for their dedication and support throughout this process. I've learned a great deal from this experience. I'm delighted this matter has now settled and I wish to thank all of those involved in reaching an amicable conclusion. My focus now is fully on moving ahead where two great organisations that I respect deeply will compete solely on the racetrack."

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