Section 36(1) of the 2018 Act requires a person carrying out spaceflight activities to indemnify the United Kingdom Government or a person or body listed in subsection (2) against any claims brought against the government, or the person or body, in respect of damage or loss arising out of or in connection with those activities. The United Kingdom could, for example, face claims where the UN Convention on International Liability for Damage caused by Space Objects applies. Section 36(3) and (4) makes further provision about the requirement to indemnify including when that requirement does not apply.
	The requirement to indemnify under section 36(1) is subject to any limit specified under section 12(2) of the 2018 Act on the amount of a licensee’s liability, except in prescribed cases or circumstances.
	Currently section 12(2) provides that an operator licence may specify a limit on the amount of a licensee’s liability to indemnify under section 36. This Act amends section 12(2) and makes a consequential amendment to section 36(3)(a).
Legal background