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Alex Palou responds to McLaren lawsuits: 'I'm sad the way it's worked out'

MADISON, Ill. – As he balances the pursuit of doing something the IndyCar series hasn’t seen in more than 20 years – wrap up a championship with two or more races left in the season – and the headache of being sued in a national court for the second time in 13 months, Alex Palou has decided he wants to write a book.

Or maybe, more accurately stated, just decided. As in, as he was in the throes of answering another string of uncomfortable questions about being sued by an international corporation for damages that IndyStar reported this week have reached eight figures.

While holding a 101-point lead in the 2023 IndyCar championship with just three races to go, Alex Palou is now facing multiple lawsuits off-track from McLaren Racing stemming from the pair's contract dispute for 2024.
While holding a 101-point lead in the 2023 IndyCar championship with just three races to go, Alex Palou is now facing multiple lawsuits off-track from McLaren Racing stemming from the pair's contract dispute for 2024.

That book, Palou said, may be the first place he reveals the ever-changing story that has been the 13 months since he jumped head-on into the first of now two public spats with some of the most famous names in racing.

Chasing history: Only 3 IndyCar champs have won titles with 2+ races to go. Palou can join them.

“I think some day, I’ll write a story – maybe a book – so everybody knows what was going on since 2022 and 2023, and even down to each month,” Palou told IndyStar on Friday at World Wide Technology Raceway when asked about when he allegedly changed his mind about where he wanted to race in 2024. “For now, I’m not going to give a lot of information.”

What we do know is this: From the contents of a letter McLaren Racing CEO Zak Brown sent to his employees two weeks ago – first reported by the Associated Press – Palou had allegedly communicated to Brown and others among the IndyCar team’s brass that he no longer intended to race for Arrow McLaren in 2024, despite Brown claiming the 26-year-old Spaniard had an ironclad contract with the team to do just that.

Brown also claimed that Palou, who for the last 11 months has been serving as a test and reserve driver for the McLaren Formula 1 team, had received an advance on his 2024 salary, further cementing he and McLaren’s story that Palou was earmarked for a spot at Arrow McLaren alongside Pato O’Ward and Alexander Rossi next season.

In a surprising development, Chip Ganassi responded to Brown's claims with a statement Aug. 12, claiming that "the position of McLaren IndyCar regarding our driver is inaccurate and wrong.

"Alex Palou has been a part of our team and under contract since the 2021 season. It is the interference of that contract from McLaren that began this process and ironically, they are now playing the victim," Ganassi continued. "I grew up respecting the McLaren Team and their success. The new management does not get my same respect."

Chip Ganassi Racing owner Chip Ganassi talks out to the pits Saturday, May 13, 2023, during the pit walk the GMR Grand Prix at Indianapolis Motor Speedway.
Chip Ganassi Racing owner Chip Ganassi talks out to the pits Saturday, May 13, 2023, during the pit walk the GMR Grand Prix at Indianapolis Motor Speedway.

McLaren: Alex Palou 'does not intend to honor' contract for 2024 and beyond

McLaren 'playing the victim': Chip Ganassi comments on Alex Palou's contract status

When given the opportunity to confirm, deny or clearup any of those facts, Palou responded to IndyStar’s questions with some version of his cheeky plug for his future book.

“That will be in the book.”

“I will write that in the book.”

“I think maybe after the season, I can sit down and explain a lot more, but I don’t think it would help anybody or anyone right now to start.”

For better or worse, though, Palou was more than a ‘no comment’ machine that he had been at his last public appearance 13 days ago ahead of the start of the Gallagher Grand Prix on the IMS road course and less than 24 hours after public chaos had once again consumed his life.

“I would say it’s just sad,” said Palou when asked about having to be the defendant of a high-profile lawsuit that again involves his future aspirations in racing. It does appear that McLaren Racing and Arrow McLaren, who together filed two suits in U.K. Commercial Court against Palou and ALPA Racing USA, LLC just over a week ago, are not in pursuit of controlling where the likely ’23 IndyCar champ races in the future but damages. Both lawsuits were filed as Part 7 Claims, targeting recouping money.

After learning of Alex Palou's intent not to race for Arrow McLaren in IndyCar in 2024 despite the sides reaching an alleged binding contract, McLaren Racing (led by pictured CEO Zak Brown) has sued Alex Palou and his racing entity ALPA Racing in U.K. Commercial Court.
After learning of Alex Palou's intent not to race for Arrow McLaren in IndyCar in 2024 despite the sides reaching an alleged binding contract, McLaren Racing (led by pictured CEO Zak Brown) has sued Alex Palou and his racing entity ALPA Racing in U.K. Commercial Court.

Earlier this week, IndyStar reported that McLaren estimates it’s damages from Palou’s heel-turn – potentially including the salary advance, money spent on his F1 testing program and possible sponsorship losses suffered from the expectations partners would be featured on the car of an IndyCar champ – to be between $20 million-$30 million.

Source: McLaren to claim $20 million-$30 million in damages in U.K. lawsuits vs. Alex Palou

Palou headed back to the courts: McLaren files lawsuits against Alex Palou in U.K. Commercial Court

“I would have liked to have done things differently,” he continued. “But it has not been that way. I’m just sad the way it’s worked out, but I cannot really change it and change everything and color it and make it a lot more ‘nice.’ It’s not that way.

“But believe it or not, I know quite a lot about law school now. I’ve had classes for a year now.”

Not that last year’s federal lawsuit from Chip Ganassi Racing – which forced Palou to continue racing in the No. 10 Honda in 2023 – was simple for a driver who had spent nearly his entire life in Europe racing and had only moved to the U.S. less than three years prior.

But Palou did admit that this new suit from McLaren taking place in U.K. courts with a different set of laws would be an entirely different ballgame for him. And for that, he said, he’s tried to separate himself even more from those goings on.

Chip Ganassi Racing driver Alex Palou (10) puts in his hearing protection Friday, Aug. 11, 2023, during practice for the Gallagher Grand Prix at Indianapolis Motor Speedway.
Chip Ganassi Racing driver Alex Palou (10) puts in his hearing protection Friday, Aug. 11, 2023, during practice for the Gallagher Grand Prix at Indianapolis Motor Speedway.

“I can’t really tell the differences for here versus there, so that’s why the lawyers are telling me stuff about how it’s going and what they think,” he told IndyStar. “It’s in their hands, and I’m just trying to be a bit more away from all that than I was last year and try to focus on the racing.

“I know everything that’s going on, and I’m not denying that, but there’s not much more that I can do there. I can only lose concentration on the races. But this is not as big as it was last year, just because last year it went from zero to a big drama. Now, it’s like we’re just carrying what we had going on last year until now. It’s not like it’s easy, but the way the championship is (having a 101-point lead with three races to go) makes it a bit less challenging to carry, I think.”

'He should just not have a contract': Will Power on Alex Palou's contract situation

And for someone who could have his racing wages garnished for years to come – unless Ganassi or another party steps in to help – if McLaren wins anything close to the judgement they’re seeking against Palou and ALPA Racing, the CGR driver was as calm, cool and collected as could be Friday.

In fact, despite having been served with paperwork from the lawsuits Monday, according to a source, Palou said it was news to him Wednesday evening when IndyStar published its story about McLaren’s claim to those healthy eight-figure damages.

Chip Ganassi Racing driver Álex Palou (10) walks out to pit lane Saturday, Aug. 12, 2023, ahead of the Gallagher Grand Prix at the Indianapolis Motor Speedway in Indianapolis.
Chip Ganassi Racing driver Álex Palou (10) walks out to pit lane Saturday, Aug. 12, 2023, ahead of the Gallagher Grand Prix at the Indianapolis Motor Speedway in Indianapolis.

“Somebody actually asked me from my family and sent me your article, so I didn’t know,” Palou told IndyStar. “But honestly, I don’t really understand. I think you can always ask for as much as you want.

“I mean, I could ask you for $100 million because you asked me a tough question – which maybe I’ll do.”

As Palou chuckled to himself, the reporter retorted, “I promise you, you won’t get that much.”

“Same,” said Palou plainly, through a wide, toothy grin.

“Same.”

This article originally appeared on Indianapolis Star: IndyCar: On brink of title, Alex Palou responds to McLaren lawsuits