The man was arrested following an accident that resulted in the death of 18-year-old man Ammaar Nisar from Chorley in the early hours of 15 January.
The teenager suffered serious head injuries and was taken to Royal Preston Hospital, where he later died.
His cousin Momo Waj Nisar posted news of his death on social media. He wrote: “You have left this world and gone to a better place. We love you always and always praying for you.”
Two passengers who had been travelling with Mr Nisar were also injured in the crash at around 12.05am on Sunday.
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An 18-year-old male suffered a head and shoulder injury while a 17-year-old boy suffered fractured hands, police said.
The road was closed for six hours while accident investigators attended the scene.
Police are now appealing for witnesses.