Lawyer to India’s first private moon mission talks space, launch contracts & Manfred Lachs

Indian rocket lawyer: Rastogi explains the law in desi bid to reach the moon
Indian rocket lawyer: Rastogi explains the law in desi bid to reach the moon

TRA managing partner Anirudh Rastogi has advised on a so-called satellite launch contract for Team Indus, which is the only Indian team competing for the Google-sponsored Lunar XPRIZE, which has set aside $20m for the first 90% privately-funded company to land a robot on the moon and send video footage of its 500m drive on the lunar surface back to earth.

“We advised Team Indus on the launch contract and on various regulatory matters,” explained Rastogi about the launch contract with Antrix Corp, the commercial arm of the government’s Indian Space Research Organisation (ISRO), which envisages Team Indus launching a lunar lander and robotic rover in a Polar Satellite Launch Vehicle (PSLV) operated by the ISRO.

Rastogi is an NLIU Bhopal graduate and Harvard LLM, who had begun his career at Nishith Desai Associates in 2006, and moved to O’Melveny & Myers Singapore in 2008 before co-founding TRA in Delhi in 2012.

“Each launch contract can be a very customised and highly-negotiated contract – these are high value and high liability deals. For example, the spaceX Falcon 9 explosion wiped out Israeli Communications Satellite Amos-6 worth about $200m, and we are not even accounting for the loss of business,” he said about the legal and liability complexities of the mission.

Most ISRO and other launches take up multiple satellites at the same time (one upcoming launch by ISRO in January plans to launch 68 in a single mission for instance). However, Rastogi said that the “interesting thing was that the Team Indus contract is a dedicated launch”.

Securing a launch contract by the end of 2016 is a prerequisite to remain in the running for the XPRIZE, which has an overall deadline of 31 December 2017.

Team Indus’ launch contract with ISRO, as reported earlier this month, is scheduled to take its rover to the moon in December 2017.

Three other teams from (from Israel, the US and an international group) had secured launch contracts before Team Indus, which is supported by Infosys co-founded Nandan Nilekani. The second team to fulfil the moon mission of the competition would win $5m, with another $5m in bonus prizes up for grabs.

Team Indus concluding its launch contract follows the company signing up with French aerospace company CNES, via Indian company Axiom Research Labs, to supply high-end digital cameras for use in its rover.

Space law: Not just any old contract

“It is a very specialist area with extremely high liability issues,” explained Rastogi about the practice area. “There are unique elements to a launch contract.”

“When you do a launch contract, there are very significant liability issues but unlike many other contracts that you do that you attribute liability to one party or the other, in a launch contract, both parties generally waive liability,” he said.

“A launch is a complex transaction involving not only the launch provider and the user, but also the satellite manufacturer, the government, contractors, and sub-contractors, and it can often be difficult to pinpoint liability.

“Also, a launch failure may cause damage not only to the payload and launch vehicle but also to persons and property who may not be even involved in the space venture.

“These aspects call for an additional system of indemnities and insurance commitments.”

That means that there is no liability on the launch operator if the rocket blows up, and likewise there is no liability for the satellite maker either if that should derail a mission, noted Rastogi.

“The risk is very significant, largely unknown and unpredictable,” he added. “It came about largely as a way to incentivise launch providers… and parties to assume this risk.”

How to become a space lawyer

He said that TRA - a firm of 2 partners and 7 other lawyers - was “very focused on new technologies”, where policy and regulation are often very ambigiuous. TRA had mostly moved into the aerospace field from aviation work, having also been active in advising in the drones and unmanned aerial vehicles (UAV) space, where there is some regulatory overlap with space law work.

“The way we’ve evolved as a firm, we selectively pick up areas of work where there is a lot of evolution in technology and the regulatory environment, and we develop expertise in that. That’s really been our approach at it,” he said, adding: “The space market has also expanded exponentially with lowering cost of space launch technology and hardware, and opening up of the industry to the private sector.

“A number of aerospace ventures have come about in India in the last 5-6 years, from small-satellite manufacturers to component manufacturers to launch facilitators.”

Nevertheless, the area remained “fairly niche”, he said.

So how can students who want to be space lawyers one day prepare for the area? Would space law moots or studying space law academically potentially help?

“When students talk about space law, they’re generally talking about the public law elements of space law, international space treaties, etc,” said Rastogi. “What is equally important, especially if you want to do commercial work is how the industry operates, you need to pick up on the commercial practice.”

“I don’t think Manfred Lachs particularly prepares you for, or the space law courses particularly prepare for practice. For that you need to be more clued into the industry and commercial practices,” he mused.

“But it is certainly a great start.”

Comments

Guest 24 Nov 2016, 11:54
+28 -2
Thank you Kian for this interesting article. A welcome relief from the boring stories on deals and partner promotions.I suggest you do more stories on the many interesting careers pursued by grads of National Law Universities outside corporate law. There are people teaching at top law schools abroad, working in prestigious international organisations, working in villages defending human rights for tribals, working in the IAS etc. There are many things to do with a law degree other than work in a corporate law firm.

I wish you do a story on the top 50 inspiring law grads outside corporate law firms, interviewing UN lawyers, IAS officers, self-made politicians, academicians etc.
RocketSingh 24 Nov 2016, 12:50
+5 -0
Nice! Good to see the emergence of some niche law firms.
Pocket mein Rocket 24 Nov 2016, 13:20
+0 -0
It's *Antrix and not Antix Corp, in para 2.
kianganz 24 Nov 2016, 13:22
+1 -0
Thanks, fixed! :)
Guest 24 Nov 2016, 15:19
+4 -0
Great job TRA!
What about others??? 24 Nov 2016, 18:18
+6 -11
Too much focus is given to people from NLUs. Why are you not covering that an alumni of ILS, Aniruddha Rajput, has recently become the youngest person to ever be appointed to the UN International Law Commission? That is a billion times more prestigious than the achievements of the NLU people.
honky 25 Nov 2016, 04:17
+13 -0
And I only see some unwarranted political involvement in his appointment. I mean he isn't even an eminent Indian jurist, let along internationally. In fact, I want to know how he got appointed. There is a brilliant article by Rashmi Raman on this saga at bar and bench. Hope this comment is published in full, Kian.
kianganz 25 Nov 2016, 04:36
+3 -0
Not sure which part of your comment you thought we'd censor, but in case it's the latter part, I'll do you one better, here's a link to the article, which is indeed a good read :)
http://barandbench.com/india-united-nations-international-law-commission-speaking-truth-power/
Guest 25 Nov 2016, 16:01
+0 -0
Rare example where B&B does courageous journalism and beats Kian to a story. But Kian this does not mean you should not cover it. This is a HUGE HUGE controversy that I am very surprised LI has overlooked. A 32 year old junior lawyer with no track record gets a post meant for senior jurists, just because RSS lobbied for him.

I hope Kian that your silence is not because of fear of antagonising the BJP.
kianganz 26 Nov 2016, 09:04
+0 -0
I honestly think we're a bit late on the story alas, not sure we'd have anything substantial to add. In terms of antagonising, every single newspaper has already written about it, so I don't think there's any risk in critical reporting about the appointment really...
MohitSingh 24 Nov 2016, 19:17
+5 -0
Congratulations Anirudh!
Yaay!! 25 Nov 2016, 05:59
+5 -0
So cool :)
Good Going 25 Nov 2016, 06:10
+4 -0
Good going Anni. This is indeed niche work!
okay 25 Nov 2016, 06:32
+7 -6
Sorry to be a killjoy but launch contracts are no different from 'any old contract'. There is some service and some money paid in exchange and the services to be delivered come with some requirements. That's it. Nothing to do with space law or international treaties. Whoever wrote this story has no idea of the difference between public and private law and Rastogi seems happy to let that incorrect perception continue. Furthermore "liability" and "insurance" issues are not particularly unique, those are relevant in any big contract that has possibility for environment or catastrophic damage.

Manfred Lachs focuses on public law questions and has a bearing on interest in international law. Perhaps if Rastogi was employed by the MEA or the COPUOS he would be competent to comment. As things stand any good corporate lawyer with experience in contracts or sale of goods can work on this.

Most likely his firm got the job for charging less. Simple as that. No rocket science this!
kianganz 25 Nov 2016, 06:35
+9 -3
Yes, at the end of the day, a contract is a contract is a contract, but would ISRO or Team Indus hire you to look at their contracts?

As Rastogi correctly points out, you need to know an industry to advise on it, and that goes for most, including banking, retail, e-commerce, etc.

Just that space happens to be a LOT more niche than the others...
okay 25 Nov 2016, 07:09
+5 -12
Actually every business can be termed a "niche" area if you look closely enough (or want to sound important). Long term ONG contracts are niche, SEZ contracts are niche contracts for managing cricketers is niche, PPAs are niche, shipbuilding contracts are niche, football contracts in premier league are niche, solar cell contracts are niche, contracts to hire mercenaries is niche, contract to fill ATM is niche, blah blah

Many of these are bigger value and more rare than the contracts Rastogi's firm is asked to work on. Last year there were NIL long term natural gas import contracts signed by Indian companies.

The real reason a startup like Team Indus gets such a contract is deal size. This contract is worth a few million dollars (single digits). Had it been a few hundred million or billion Zia or Shardul would have been on the job.
kianganz 25 Nov 2016, 07:10
+20 -4
Yeah, but SPACE dude!!! Why so grumpy :)
UN Project Partner 25 Nov 2016, 07:11
+6 -1
Good going Ani..
Double Okay 25 Nov 2016, 10:34
+5 -6
I agree with Mr Okay on this.
Haters be Haters 25 Nov 2016, 11:48
+9 -4
Come on ppl.

Dont be haters for nothing.

Anirudh is working on complex contracts in a complex and niche area and from his interview it seems that he beams with pride about his work.. which is the most important thing anyway.

Now whether a bigger ticket size would go to a SAM/AZB, well the answer would be ..definitely could.

But doesnt take away anything from Anirudh and his team.


Well done Bro.. as always wishing you all the success.
Dr Babe 25 Nov 2016, 15:20
+4 -0
Go TRA!
To all haters 25 Nov 2016, 18:29
+9 -3
This is regarding the sub-discussion on this thread by some haters claiming that Anirudh's namesake from ILS (Anirudh Rajput) did a greater achievement.

FYI NLIU Anirudh is a self-made achiever. He made it to two law schools where it is tough to gain admission (NLIU and Harvard) and has not used any political connections for unscrupulous gain.

In comparison ILS Anirudh is a Hindutva activist (see speeches below) who achieved success through RSS connections, as widely acknowledged in the media. So please do not compare.

https://www.youtube.com/watch?v=h2fFHgigWTk

https://www.youtube.com/watch?v=kOaTGNke1bQ
Triple Okay 26 Nov 2016, 16:26
+2 -3
I agree with both Okay and Double Okay.
Quadruple Okay 27 Nov 2016, 17:01
+2 -1
I agree with Mr Okay, Mr Double Okay and Mr Triple Okay.
Agey Nahin Pata Okay 28 Nov 2016, 09:52
+1 -1
I agree with all the Okays - i.e. Mr Okay, Mr Double Okay, Mr Triple Okay and Mr Quadruple Okay.
Okay 29 Nov 2016, 04:31
+0 -0
@Mr. Agey Nahin Pata Okay: Okay!
Hein? 9 Dec 2016, 08:45
+1 -0
JSA is also acting for these guys, he's not the "lawyer to India's first private moon mission", definitely not the only one.
bas okay kyon? 19 Dec 2016, 13:42
+0 -1
IF there is no point in reporting this news, I guess Legally India should shut shop, because there is no point in reporting anything then. By this 'okay' logic, any good general corporate lawyer could do anything.. which may just be true, but there is a point to celebrating our peers working in newer domains; doing bigger deals; doing creative work or working with creators and innovators. Hope it inspires you to do the same rather than spending your time and creativity in this chat box. Great going, team TRA. Have been hearing great things about you, and hope there will be more to hear.