McLaren's $20 million UK lawsuit against Palou over aborted move begins
Aug 31, 2025; Lebanon, Tennessee, USA; Chip Ganassi Racing driver Alex Palou (10) of Spain during an autograph session prior to the Borchetta Bourbon Music City Grand Prix at Nashville Superspeedway. Mandatory Credit: Randy Sartin-Imagn Images
LONDON : McLaren Racing are seeking around $20 million in their London lawsuit against four-times IndyCar champion Alex Palou over his aborted move to the team, though the Spanish driver's lawyers on Monday argued that Palou owed McLaren nothing.
McLaren Racing, who run the reigning Formula One world champions and the Arrow McLaren team in U.S.-based IndyCars, are suing Palou after his move fell apart three years ago.
McLaren have emerged as a dominant force in Formula One, winning the constructors' title last year for the first time since 1998. They are on course to win both titles this season, with Oscar Piastri leading Lando Norris in the drivers' standings.
Their IndyCar team, however, are relatively new and Palou agreeing a deal in late 2022 to join was a coup, according to McLaren's lawyers.
Palou, however, ultimately stayed with Chip Ganassi Racing and won three consecutive IndyCar titles from 2023 to 2025, plus May's Indianapolis 500.
McLaren's lawyers say the team have missed out on "the on-track success it would otherwise have achieved" with Palou as their driver and are claiming $19.7 million to cover losses, including in relation to sponsorship deals and other drivers' salaries.
Palou has admitted breaching his contract, but his lawyers say McLaren's alleged losses are vastly inflated and that McLaren have mitigated any losses.
His legal team have accused McLaren of trying to "take Mr Palou to the cleaners", though McLaren say Chip Ganassi Racing have agreed to cover any sums the court might rule Palou owes.
Palou and McLaren Chief Executive Zak Brown are among the witnesses expected to give evidence at the trial, which is due to conclude in November.
