Possibly because of the predations of the Ra'zac and Lethrblaka in the native country of humans, Palancar led what refugees he could to Alagaësia. His fleet stopped at least twice en route: once in a sheltered cove surrounded by mountains, where they established a settlement that would become the town of Kuasta and again at Teirm, where he came into contact with both the elves and the Dragon Riders, who allowed Palancar to settle his people in lands they didn't occupy. Once they settled in an unoccupied valley, Palancar tried to expand his territory by attacking the elves (quite why he did so, especially after having seen the might of the elvish military in Teirm is unknown: Heslant the Monk suggests in Domia abr Wyrda that Palancar may have been in the early stages of dementia). However, three times they attacked and three times they were defeated. Palancar's nobles pleaded their king to negotiate but he refused, so they met with the elves and negotiated a peace treaty in secret. With the help of the Dragon Riders, they were able to depose of Palancar but not without angering the human king. The leader of the Dragon Riders then allowed humans to enter the Rider's order to ease the tensions between the elves, Riders and the humans.
Palancar was eventually murdered by a son, possibly Thanebrand the Ring Giver (Palancar's succesor and first King of the Broddring Kingdom to rule in Ilirea), who didn't wait for him to die of natural causes. The bloodline became riddled with corruption but Palancar's family and their followers never left the valley, so the Riders built an outpost called Edoc'sil (later known as Ristvak'baen) on Utgard Mountain to make sure that they never caused trouble again.
Palancar was considered a mad king, as evidenced throughout the series. In Brisingr, characters whose ideas seem outlandish are sometimes called "as mad as old Palancar."