Alex Palou has claimed that Zak Brown told him he could help find him a seat in Formula 1, but the McLaren Racing boss insists he never made any promises or misled the driver.
The long-running dispute between Palou and McLaren reached the UK High Court this week, with the Woking-based squad suing the IndyCar star for over $20 million for breaching their contract.
In July 2022, both Chip Ganassi Racing and McLaren had announced competing claims over Palou’s services for the following IndyCar season.
After several months of negotiation, the parties reached an agreement that allowed Palou to remain with Chip Ganassi for the 2023 season while also serving as a test and development driver for McLaren’s F1 team.
Under the arrangement, he would have left CGR to join McLaren’s IndyCar operation in 2024, giving both sides a compromise they were happy with.
However, Palou eventually decided to remain at CGR in 2024, claiming he had lost faith in McLaren’s ability to offer him a seat in F1.
Patricio O’Ward, Arrow McLaren SP Chevrolet, Alex Palou, Chip Ganassi Racing Honda
Photo by: Phillip Abbott / Motorsport Images
As the matter proceeded to the UK High Court, both sides provided further details about the circumstances leading up to their split, as they continue to dispute the level of damages owed.
In his witness statement, the Indy 500 winner claimed that Brown had given him hope that an F1 seat might become available in 2024.
“When testing with McLaren, Zak told me he believed we could make it happen, and that he would give me all the preparation I needed to get to F1,” he said in court, as reported by Motor Sport Magazine. “At the time I thought he was genuine.”
‘Brown didn’t make Piastri decision’
As McLaren’s contract with Daniel Ricciardo neared its end after the 2022 season, McLaren lured rising Australian star Oscar Piastri away from Alpine and signed him to partner Lando Norris for 2023.
Palou has alleged that Brown reassured him Piastri’s arrival would not affect his own chances of securing a future F1 seat, but by that point he was already getting the sense that his opportunity in F1 was slipping away.
“I went for dinner with Zak near MTC [McLaren Technology Centre],” said Palou. “Zak told me it was not his decision to hire Oscar. He said it was the decision of [then] team manager Andreas Seidl.
“Zak told me Piastri’s performance would be evaluated against mine for 2024. Zak said that, from his point of view, my chance of getting the F1 seat was not affected by Oscar.
“However, I knew everything had changed. From that point on, I started to be more willing to stay with CGR in the future.”
Brown’s denial
Zak Brown, McLaren
Photo by: Andrew Ferraro / LAT Images via Getty Images
Earlier this week, Brown denied giving Palou any assurances about a seat in McLaren’s grand prix team.
“I told him what the opportunities would be in F1,” said Brown. “I never told him he would be under consideration.”
When Palou’s counsel Nick De Marco accused Brown of stringing the Spaniard along in the same court session, Brown replied: “I never strung along Alex. I never told him he would be under consideration for 2023. There was some optionality to join F1.”
Palou’s reaction to Piastri’s announcement
Palou also described how he felt after F2 champion Piastri was announced as McLaren’s second driver for the 2023 season.
This occurred prior to CGR and McLaren reaching an agreement for 2023, and before the second dispute between him and the team unfolded the following year.
“I was very upset, worried and angry that McLaren had signed another rookie driver other than me,” he said “I asked MIM (Monaco Increase Management) to speak to Zak to ask what was going on.
“On September 22 they had a conversation with Zak, and Zak had told them they needed someone who would be quick in 2023, but that this would not interfere with my chances to get into F1.”
AlphaTauri opportunity
Palou was seen as a potential option for AlphaTauri as the squad sought a new driver for the 2024 season.
Speaking on Thursday, the four-time IndyCar champion claimed that the Faenza squad lost interest in hiring him after a private meeting between Red Bull advisor Helmut Marko and Brown.
“There had been some rumours in the media about AlphaTauri looking for a F1 driver and my name was in the mix,” he said.
“In June 2023, I contacted and had a conversation over the phone with Helmut Marko. Helmut was open to me driving for them, and asked for the conditions of my McLaren release.”
“Zak had directly called Helmut, and apparently Helmut had told Zak he was not interested anymore. I don’t know what happened in that conversation, but for sure it didn’t help because suddenly Helmut was not interested anymore.”
Patricio O’ward, Arrow McLaren
Photo by: Jake Galstad / Lumen via Getty Images
McLaren “plunged into crisis mode”
Earlier this week, McLaren’s counsel Paul Goulding detailed the financial impact of Palou’s decision to renege on his deal with the squad and continue with CGR in 2024.
“McLaren was plunged into crisis mode by Mr Palou’s deliberate breach of contract,” he said. “His unlawful actions caused deep consternation among McLaren’s sponsors, whose expectations had been cast aside overnight.
“McLaren had to find a replacement driver at short notice, yet there was no one available of Mr Palou’s calibre. Sponsors withheld payments in the wake of Mr Palou’s U-turn and made abundantly clear to McLaren that sponsorship agreements would have to be renegotiated.”
Palou’s lawyers, however, disputed McLaren’s claim as “vastly inflated”, before adding that the squad’s statement amounted to “a barefaced attempt to take Mr Palou to the cleaners”.
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– The Autosport.com Team
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