Oct.19 (GMM) Fernando Alonso in Brazil denied that he has now agreed a deal to return to the Renault team in 2008.



"No, that's nonsense," he told Spanish radio from the scene of the 2007 championship finale outside Sao Paulo.



"I have heard the rumours and there is nothing to them at all," Alonso added, even though his manager Luis Garcia Abad met with Renault boss Flavio Briatore in the Interlagos paddock on Thursday.



26-year-old Alonso's denial coincided with strong paddock speculation that he formally turned down an offer from Toyota to join the Japanese team for an unprecedented (US) $57m per season.



With Ferrari also not an option, it is suggested that Alonso might simply attempt to heal the wounds of his McLaren tenure and honour his contract for next year.



That speculation, however, would be contrary to rumours this week that Mercedes-Benz agreed in an executive board meeting that Alonso should not represent the German carmaker in 2008.



The competition director for McLaren's carmaker partner, Norbert Haug, told the Spanish newspaper Marca: "Sometimes you have to bring things to an end, as we did with (Juan Pablo) Montoya."



Triple world champion Niki Lauda advises the Woking based outfit to sue Alonso before forcing him to honour his contract.



"I would give him a court case for damage he has done to McLaren and Mercedes," the Austrian legend told the British broadcaster ITV.



"Then (I would say) let's sit down, you have a contract my guy, and you drive," Lauda added.