2-2-2-10 BETWEEN THE GOVERNMENT OF THE UNITED STATES OF AMERICA AND CERTAIN GOVERNMENTS, MEMBERS OF THE EUROPEAN SPACE RESEARCH ORGANISATION, FOR A COOPERATIVE PROGRAMME CONCERNING THE DEVELOPMENT, PROCUREMENT AND USE OF A SPACE LABORATORY IN CONJUNCTION WITH THE SPACE SHUTTLE SYSTEM (Agreement done at Neuilly-sur-Seine August 14, 1973, Entered into Force August 14, 1973)

Article 11: Liability

A.

The Government of the United States of America shall have full responsibility for damage to its nationals and to its governmental property arising in the course of implementation of this Agreement. The European Partners shall have full responsibility for damage to their nationals, to their governmental property, and, through ESRO, to employees of ESRO and to ESRO property, arising in the course of implementation of this Agreement.

B.

In the event of damage, arising from the launch, flight or descent of the Shuttle carrying the SL, to nationals of countries which are not parties to this Agreement, for which damage there is joint liability of the Government of the United States of America and the European Partners under the principles of international law or of the Convention on International Liability for Damage Caused by Space Objects,[¹] the Government of the United States of America and the European Partners agree to consult promptly on an equitable sharing of the payment for any settlement required. If agreement is not reached within 180 days, the Government of the United States of America and the European Partners will act promptly to arrange for early arbitration to settle the sharing of such claims following the 1958 model rules on arbitral procedure of the International Law Commission.

C.

In the event of damage to nationals of countries not parties to this Agreement, arising from the implementation of this Agreement and not covered by Paragraph B above, such damage shall be the responsibility of the Government of the United States of America and/or the European Partners depending on where the responsibility falls under applicable law.

D.

Notwithstanding Paragraph A above, with respect to the first SL to be provided by the European Partners, the Government of the United States of America shall be responsible for damage to such first SL after its acceptance by the Government of the United States of America, but shall not be liable for damage occurring in connection with a Space Shuttle launch, flight or descent.

¹ TIAS 7762; post, p. 2389.