McLaren boss reveals ‘incredibly disappointing’ shock twist in Alex Palou contract saga

Jamie Woodhouse
McLaren reserve Alex Palou watches on at the Miami Grand Prix.

McLaren Racing CEO Zak Brown dropped the bombshell in a letter to McLaren employees that IndyCar Championship leader Alex Palou has “no intention” of honouring his contract with the team.

In a contract dispute which bares shades of the Oscar Piastri pursuit between McLaren and Alpine, Palou had a year ago taken to social media to deny a Chip Ganassi Racing press release which claimed his IndyCar deal had been extended for 2023, with McLaren soon after claiming to have signed Palou.

The matter went to the civil court, with the outcome being that Palou continues to race with Chip Ganassi in the 2023 IndyCar season as he pushes towards title glory, though he serves as a reserve driver for the McLaren Formula 1 team.

Now Alex Palou looking for McLaren exit door?

It was anticipated that Palou would join the Arrow McLaren SP line-up from next season, but the shock reveal by Brown indicates that will not be the case.

TheAssociation Pressreport that Brown has circulated a letter around the McLaren employees to inform them that Palou has “no intention of honouring his contract” with the team for 2024 and thereafter, despite assurances over his driving future and an advance on his salary.

“This is incredibly disappointing considering the commitment he has made to us both directly and publicly and our significant investment in him based on that commitment,” Brown wrote in his letter.

“We dedicated a lot of time, money and resources preparing to welcome Alex into our team because we believed in him and were looking forward to IndyCar wins with him.

“Coming out of his team dispute last fall, we were assured by Alex of his commitment to Arrow McLaren reflected in the contract he entered into with us.

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“We have paid him a significant first payment toward his 2024 season in addition to the millions of dollars toward developing him in our Formula 1 testing program and in his reserve driver role with a potential drive in F1 in the future.

“Unfortunately, it now appears our belief, commitment, investment and trust in Alex was misplaced as it is not being reciprocated.

“We have made clear to Alex that we expect him to honour and perform under his contract with us. However, the leadership team and I are focused on addressing our 2024 driver line-up in order to be prepared if Alex does not do so.”

Brown’s letter came at a time when the IndyCar stars are at the Indianapolis Motor Speedway, where the Gallagher Grand Prix is being contested on the Road Course.

Palou went into the event boasting a lead of 84 points over nearest Championship rival Josef Newgarden.

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