Cabinet Resolution No. (20) of 2023 Regarding the Regulatory Regulations to Ensure Compensation for Damage Caused to Others During the Exercise of Space Activities and Other Activities Related to the Space Sector (Liability Towards Third Pa (telecommunication, technology and space law)

Article (1)  
Definitions  
In application of the provisions herein, the following words and e xpressions shall have the 
meanings ascribed thereto, unless the context requires otherwise:  
State  : The United Arab Emirates.  
Government Entities  : Ministries, public authorities and institutions, and all other federal or local 
Government Agencies in the State.  
Agency  : UAE Space Agency.  Board of 
Directors  : Board of Directors of the UAE Space Agency.  
Law  : Federal Law No. (12) of 2019 Regulating the Space Sector.  
Space Object  : An object that a person makes, launches, or aims to launch into the or from the Ident ified Area, whether manned or unmanned that shall include: the 
constituent parts of the Space Object, its Launch Vehicle and the parts 
thereof, including those that do not reach the Identified Area.  
Space 
Activities  : Activities that target the Identified Area, including its discovery, making an impact thereon, using, or utilising it, in accordance with the provisions of 
article (4) of this Law.  
Authorisation 
Regulations  : 
Regulations related to Authorising Space Activi ties and other activities 
related to the Space Sector, applicable in the Agency.  
Identified 
Area  : Any area eighty kilometres or more above the mean sea level.  
Operator  : A person engaged in Space Activities, Space Supporting Flights, High 
Altitude Activitie s, Space Data management and distribution activities, or 
any other activities related to the Space Sector subject to this Law.  
Damage  : Loss of life, personal injury, or any other harm to health, or the loss or 
damage that is caused to the property of the S tate, the property of Persons, 
or the property of intergovernmental organisations.  
Insurance 
Contract  : Contract between the Insurance Company (and the intermediary, where 
applicable) and the Operator and any other Insured entities under which the Insurance  Company is obligated to pay financial compensation to the 
Operator in the event of damage occurring or causing damage to a 
contracting party or a third party, or to pay compensation to a list of 
beneficiaries specified by the Insurance Contract. In exchan ge for the 
Insured paying a premium or instalments  to the Insurance Company or 
insurance brokers.  Insured  : The Operator (and, as the case may be, other entities covered by the 
Insurance Contract, which may include the owner of the Space Object) 
who is a pa rty to the contract and shall pay amounts to the Insurance 
Company for the amount required to be covered under the Insurance 
Contract, which may include regular payment of insurance premiums.  
Indemnity  
Guarantee 
Document  : A document submitted by the Operator to the Agency for review and 
approval, which sets forth the Operator financial assurance regarding the 
coverage required for the Operator to comply with the requirements of 
this resolution. This may include an Insuranc e Contract or other type of 
financing or security acceptable to the Agency.  
Accident  : Accident caused by Space Activities, Space- Supporting Flights, or High 
Altitude Activities, that leads to the death of a person or severe damage 
thereto, or leads to the destruction or cause severe damage to a Space 
Object or aircraft used in a Space -Supporting Flight, or High Altitude 
Activities or the property on board or leads to the destruction or severe damage to any objects or property in the atmosphere or on the sur face of 
the Earth.  
Maximum 
Potential 
Losses  : The total potential material losses in the event that the Operator causes an 
accident or incident that may lead to loss of life, damage to people, health 
damage, environmental losses, or damage and loss to prope rty. 
Launch  : The process of launching or attempting to launch a Space Object into or 
through the Identified Area. This shall include all necessary preparations 
and activities at the launch site, up to the stage of the load separation and 
detachment from th e head of the Space Object.  
Re-entry  : The process of returning or attempting to return a Space Object from the 
Identified Area, including stages and preparations necessary for its Re -
Entry of the Earth atmosphere, until it settles on the Earth.  Space Debri s : Space Object that has no role or purpose, or the remains thereof, and the 
materials, waste, or fragments resulting therefrom, whether in Outer 
Space, including the Earth orbit, or inside the Earth atmosphere.

Article (2)  
Scope of Application  
The provis ions of this resolution apply to Operators, Authorisation Applicants, or Authorised 
Party by the Agency to conduct Space Activities or other activities related to the Space Sector in 
accordance with the provisions of the law and the regulations issued in implementation thereof.

Article (3)  
Providing Compensation Guarantee Document  
1. Any Operator or Applicant shall, before starting any Space Activities, submit a Compensation 
Guarantee Document acceptable to the Agency, during the Authorisation process as 
stipulated in the Authorisation regulations.  
2. In its assessment of the Compensation Guarantee Document referred to in Clause (1) of this Article, the Agency shall take into account the nature of Space Activity, the risks associated 
with it, and the maxim um possible losses.  
3. The Compensation Guarantee Document stipulated in Clauses (1) and (2) of this Article shall 
be submitted in accordance with the terms, conditions, rules and requirements contained in 
this resolution.

Article (4)  
Conditions for accep ting proposal for a Compensation Guarantee Document  
1. For the acceptance of the proposal for a Compensation Guarantee Document, the following conditions shall be met:  a. Acknowledgment by the Applicant or the Operator that the information contained in the  
proposed Compensation Guarantee Document is correct and up -to-date.  
b. The Compensation Guarantee Document shall remain valid throughout the period of 
practicing the Authorised Space Activity.  
c. Proof of the ability of the Applicant or the Operator, or t hrough its Guarantor or Insurance 
Company providing the required liability coverage to the Operator, to meet the liability 
compensation limit as specified by the Agency.  
d. The Compensation Guarantee Document shall apply to the Applicant or the Operator and 
other Insured, in accordance with the Agency requirements.  
e. The suitability and completeness of the Compensation Guarantee Document with the 
characteristics of the Space Activity that has been declared or will be declared.  
2. the Applicant or the Operator shall submit a proposal for the Compensation Guarantee Document and all related information as required within the time specified by the Agency.  
3. The Agency shall respond to the Operator within (14) fourteen days of receiving the 
Compensation Guarant ee Document and all responses to any inquiries submitted by the 
Agency to the Operator, either by accepting and proceeding with the Authorisation procedures or rejecting the proposal for the Compensation Guarantee Document, and the 
reasons shall be mention ed. 
4. Fail to respond within the period specified in the previous Clause shall be considered a 
rejection of the proposed Compensation Guarantee Document.

Article (5)  
Estimation of the Limitation of Compensation for Liability  
1. The Agency shall evaluate the limit of liability compensation for the Applicant or the 
Operator for each case separately, after evaluating the Space Activities and the level of 
risks, taking into account the maximum possible losses and any other elements that the 
Agency deems appro priate and relevant to estimating the limit of liability compensation.  2. Space Activities that do not constitute high- risk liability, a maximum limit of AED 250 
million shall be set.  
3. In the case of Space Activities that the Agency considers to be class ified as high risk, the 
Agency has the power to evaluate and set the limits of liability for compensation that differ 
from those stipulated in Clause (2) of this Article.  
4. When estimating the limit of compensation for liability for Space Activity during Authorisation procedures, the Agency shall take into account all factors it deems appropriate and relevant, which may vary according to the characteristics of Space 
Activities, including the following:  
a. The type, size and weight of the Space Object being  launched or re -entered, including 
other Payloads with it.  
b. Type, characteristics and record of the Launch Vehicle or Re -entry “Return of the 
Space Object”.  
c. Register of the Operator and launch service provider or return to entry “Return of the 
Space O bject”.  
d. The planned path/orbit and flight path pattern of the Space Object.  
e. The orbit of the Space Object, the frequencies used, and the extent of their crowding.  
f. Compliance with the Agency Space Debris Mitigation Guidelines (as amended from 
time to time) and the Space Object Disposal Plan.  
g. Whether Space Activities consist of a single mission that includes several Space 
Objects such as a satellite constellation.  
h. Any other factors that affect the risk of accidents or incidents, including the ability to respond and support business management and continuity.

Article (6)  
Compensation liability  
1. The Operator shall be responsible for compensating any third party who is exposed to 
damage as a result of Space Activities carried out in accordance with this resolution, up to the 
limit specified for his responsibility for compensation.  
2. In case the Operator liability for damage resulting from the Space Activities he carries out exceeds the limit of compensation liability applicable to him, the Stat e, whether through the 
Agency or any of the relevant affected parties, has the right to refer directly to the Operator and demand that he pay the compensation value in excess of the limit of compensation 
liability.  
3. In the event that a person carries out  Space Activities without obtaining the required 
Authorisation in accordance with the law and the Authorisation regulations, he will be responsible for the damages caused to a third party as a result of his practice of those activities, and his liability w ill be unlimited.

Article (7)  
Required information  
1. The Agency may request any information relevant to assessing the limit of liability and any 
requirements for a Compensation Guarantee Document from the Applicant or the Operator.  
2. The Agency may requ est any additional information after its approval of the Compensation 
Guarantee Document proposal if it finds that the information provided is insufficient to 
estimate the compensation limit for liability or the requirements of the Compensation 
Guarantee D ocument.  
3. The Agency may reject the Compensation Guarantee Document and similarly cancel any Authorisation issued to the Operator, in the event that the required information is not included in the form according to the Agency discretion.

Article (8)  
Exemptions  
1. The Applicant or the Operator may submit a request to the Agency to exempt some Space 
Activities or other activities related to the Space Sector from the requirements contained in 
this resolution. The Agency may also, on its own initiative, e xempt these activities if the 
activities fall into one of the following categories:  
a. Space Activity contributes to the development of the State Space Sector.  
b. The possibility of meeting the limits of liability under this resolution due to the new natur e 
of Space Activities and the lack of appropriate Insurance Contract, provided that Space 
Activities are authorised.  
c. If the Agency decides that establishing liability obligations according to the nature of 
Space Activities and the Operator may constitut e burdens on Space Activities.  
d. Space Activities shall be for educational and research purposes and do not, according to the Agency assessment, represent significant risks to any third party or the State.  
e. If the Agency or any other Government Entity in the State decides to be a guarantor to bear 
any responsibilities.  
2. By resolution of the Chairman of the Board of Directors, a Temporary Committee will be 
formed to review the requests submitted regarding exempting the activities referred to in Clause ( 1) of this Article from the requirements contained in this resolution, in whole or in 
part, and to take the necessary resolution regarding them, provided that the exemption does 
not include submitting Compensation Guarantee Document.  
3. The Applicant or th e Operator shall provide all information and justifications as required by 
the Agency, if the Applicant applies for an exemption, in accordance with Clause (1) of this 
Article.

Article (9)  
Other Compensation Guarantees 
1. The Agency, in coordination with the relevant Government Entities in the State, may request 
the Applicant or the Operator to provide a Compensation Guarantee Document for the use 
and transfer of space nuclear energy sources or any other highly dangerous  materials related 
to the activity.  
2. Obtaining a Compensation Guarantee Document by the Applicant or the Operator in 
accordance with the provisions of this resolution shall not exempt the Applicant or the 
Operator from obtaining any other guarantees that  are required in accordance with the 
provisions of any other legislation in which it applies.

Article (10)  
Review and Audit of the Compensation Guarantee Document  
1. The Operator shall inform the Agency, as soon as possible, of any changes in Space Activities 
or other activities related to the Space Sector or the Operator (including any institutional 
modifications that materially modify the nature of the Operator business, or any significant 
investments in the Operator ownership structure and/or Space Obje cts subject to 
Authorisation) for the purposes of enabling the Agency to evaluate whether, at any time, the 
Compensation Guarantee Document originally accepted under this Resolution remains 
sufficient and appropriate.  
2. The Agency may conduct the necessar y audit of the Operator and request whatever relevant 
information it deems appropriate, to evaluate the adequacy and validity of the Compensation 
Guarantee Document.

Article (11)  
Compliance and reconciliation  
1. the Applicant or the Operator shall comply with the requirements of this resolution, including 
providing the Agency with a Compensation Guarantee Document before starting any Space 
Activities or activities related to the Space Sector.  
2. Anyone who practices Space Activities or activities related to the Space Sector that may cause harm to third parties or lead to liability towards third parties shall cooperate with the Agency 
regarding the assessment of risks related to existing activities, and shall reconcile in 
accordance with the provisions of t his resolution within (6) six months from the date of its 
implementation.  
3. The Board of Directors may extend the reconciliation period for another period, provided that it does not exceed two years from the effective date of the provisions of this resolu tion.

Article (12)  
Executive Resolutions  
The Board of Directors shall issue the necessary Resolutions for implementation of the provisions 
of this Resolution.

Article (13)  
Publication and Entry into Force  
This Resolution shall be published in the Official Gazette and shall be enforced after (90) ninety days as of the date of its publication.  
 
Mohammed bin Rashid Al Maktoum  
Prime Minister  
 
Issued by Us:  
Dated: March 13, 2023  
Corresponding to: 21/Shaaban/1444 H