The future of the UNIDROIT Draft Space Protocol: legal proposals to encourage the participation of private financiers in space activities

Paper number

IAC-08.E8.1.10

Author

Dr. Fabio Tronchetti, Leiden University, The Netherlands

Year

2008

Abstract

The main purpose of the UNIDROIT Draft Protocol on matters specific to space assets is to encourage private financiers to invest in space activities. By establishing provisions dealing with financing space assets and securing the interests of creditors, the Protocol tries to set out a legal environment which makes financiers protected when loaning money for space ventures.
However, in my opinion, the Draft Protocol fails to do so. Its provisions raise problems of compatibility and consistency with the existing corpus iuris spatialis, i.e. with regard to issues of liability, jurisdiction, registration, choice of law, and protection of secured interests.
This situation generates uncertainty among private financiers about the scope of legal protection for their assets and, as a consequence, discourages those financiers from investing in space projects. Therefore, in my opinion, the time for amending the Draft Protocol, in order to allow it to meet the needs of private investors, has come.
This paper will analyze the limits of the Draft Protocol and will propose several solutions aimed at making it a valuable and workable instrument for supporting the participation and involvement of financiers in current and future space activities.

Abstract document

IAC-08.E8.1.10.pdf

Manuscript document

IAC-08.E8.1.10.pdf (🔒 authorized access only).

To get the manuscript, please contact IAF Secretariat.