Federal Judge Advances $3M Settlement for Fans Put Out by 2023 Las Vegas F1 Drain‑Cover Debacle

A federal judge in Nevada has paved the way toward resolving one of the most embarrassing moments of the inaugural Las Vegas Grand Prix, granting preliminary approval for a $3 million settlement to compensate ticketed spectators who were ejected from the grandstands. The event’s first practice session was cut short by a loose drain cover that took longer than expected to fix.

According to court records viewed by the California Post, the ruling, issued March 9 by U.S. District Court Judge Gloria Navarro, clears the way for thousands of ticket holders to receive compensation, pending final approval at a hearing scheduled for Nov. 4, 2026.

The class action lawsuit was filed shortly after Ferrari driver Carlos Sainz Jr. struck a dislodged water valve cover at 8:38 p.m. PT on Nov. 16, 2023, severely damaging his $15 million vehicle and forcing officials to halt the session after only eight minutes.

Officials then inspected and secured dozens of similar covers around the street circuit, filling and replacing them for safety, which took about 2.5 hours.

The second practice session, planned for midnight, was delayed until 2:30 a.m. Nov. 17, running an extended 90 minutes to compensate for the lost first practice. However, organizers forcibly ejected most fans who remained in their seats at 1:30 a.m.

Their explanation was that the delay had “created risks for our employees and fans.” In other words, the added hours meant security personnel would have exceeded their legal working shifts.

First Offer was the Pits

On Nov. 18, 2023, F1 offered $200 vouchers for race merchandise to all affected ticketholders, some of whom spent up to $50,000 on three-day passes.

Representing the affected spectators, attorney Steve Dimopoulos said a more recent proposed settlement, accepted by F1, “strikes a good balance” by providing meaningful compensation now while avoiding the risk that prolonged litigation could leave fans with less, or nothing.

Under the agreement, a $3.05 million fund would compensate roughly 32,000 eligible ticket holders. Individual payments will vary based on ticket type, participation rates, attorney fees, and administrative costs. Fans already identified through F1 and Ticketmaster records are expected to receive automatic payments, while others may need to submit claim forms.

Under terms of the settlement, the defendants, including F1 owner Liberty Media and the Las Vegas Grand Prix, admit no wrongdoing.

Whether the remedy is sufficient remains to be seen. In commenting on the settlement, Mark Ostermann, co-host of the Miles to Memories Vegas podcast, no doubt voiced the thoughts of many of the affected ticketholders.

“(F1) didn’t admit any wrongdoing, though,” he said. “You were wrong. People bought a ticket, you canceled the event. They should have got their money back. This shouldn’t have even been a lawsuit. The sad thing is that people probably won’t get the amount of money (they paid) when it’s all said and done … and that just kind of stinks.”

The F1 Las Vegas Grand Prix is contracted to run annually through 2037.