The PCA Rules for dispute settlement in outer space: A significant step forward

Outer space activities have evolved significantly. While they were previously the exclusive domain of a restricted number of states, now thanks to technological advances and the easing of governmental restrictions, space activities are carried out on a much larger scale and involve subjects of both a governmental and non-governmental nature. Furthermore, the commercial uses of outer space are making space business increasingly profitable and attractive to potential investors. As the economic value of outer space activities, as well as the number of space actors grows, it is nearly inevitable that international disputes related to the use of outer space will occur. Until recently, international space law contained little dedicated machinery to settle international outer space-related disputes. This absence significantly weakened the applicability and enforceability of space law and contributed to a climate of uncertainty. In order to address these issues, the Permanent Court of Arbitration (PCA) adopted the Optional Rules for Arbitration of Disputes Relating to Outer Space Activities on 6 December 2011. The PCA Space Rules represent a significant development in the field of space law because they provide a voluntary and binding dispute settlement method accessible to all space actors and modeled on the specific legal and economic characteristics of space activities. This paper describes the genesis of the PCA Space Rules, assesses their content and innovative character, evaluates their possible implications for the settlement of outer space disputes, and argues that they should be positively received by the outer space community.