[Federal Register Volume 76, Number 31 (Tuesday, February 15, 2011)]
[Rules and Regulations]
[Pages 8629-8637]
[FR Doc No: 2011-3313]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 440

[Docket No. FAA-2010-1150; Amendment No. 440-2]
RIN 2120-AJ85

Clarification of Reciprocal Waivers of Claims for Multiple-
Customer Commercial Space Launch and Reentry

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Technical amendment.

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SUMMARY: This action clarifies a reciprocal waiver of claims
requirement for an FAA authorized launch or reentry in which a licensee
or permittee has multiple customers. There has been confusion about
whether all customers must sign or whether one customer can sign such
an agreement on behalf of all customers. This action eliminates any
confusion by clarifying that a reciprocal waiver of claims requires
each customer to enter into a waiver with the U.S. Government and the
licensee or permittee. However, this action does not change the
existing practice for government customers, which is that the FAA signs
on their behalf.

DATES: This amendment becomes effective March 17, 2011.

FOR FURTHER INFORMATION CONTACT: Laura Montgomery, Senior Attorney for
Commercial Space Transportation, Office of the Chief Counsel,
Regulations Division, AGC-200, Federal Aviation Administration, 800
Independence Avenue, SW., Washington, DC 20591; telephone (202) 267-
3150; facsimile<PHONE_NUMBER>; e-mail<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Authority for This Rulemaking

    The statute under which the Secretary of Transportation regulates
commercial space transportation, 51 U.S.C. subtitle V, chapter 509,
sections 50901-50923 (chapter 509), requires that, for each commercial
space launch or reentry, the Department of Transportation (DOT) and,
through delegation, the Federal Aviation Administration (FAA) enter
into a reciprocal waiver of claims agreement with ``the licensee or
transferee, contractors, subcontractors, crew, space flight
participants, and customers of the licensee or transferee, and
contractors and subcontractors of the customers * * *'' 51 U.S.C.
50914(b)(2). This requirement also applies to permittees under 51
U.S.C. 50906(i). This rule changes Title 14, Code of Federal
Regulations (14 CFR) 440.17(c) to more clearly track Congress'
requirement that the reciprocal waiver of claims include all
``customers of the licensee or transferee * * *'' Id. (emphasis added).

Prior Rulemakings

    Enacted in 1998, Sec.  440.17(c) requires that the U.S. Government,
commercial space launch and reentry licensees, and the licensees'
customers enter into a reciprocal waiver of claims agreement with the
government. See Financial Responsibility Requirements for Licensed
Launch Activities, 63 FR 45592 (Aug. 26, 1998) (final rule); and
Financial Responsibility Requirements for Licensed Launch Activities,
61 FR 38992 (Jul. 25, 1996) (notice of proposed rulemaking)
(``Financial Responsibility NPRM''). The regulation was amended to
require a waiver between the U.S. Government, permittees, and the
permittees' customers. See Human Space Flight Requirements for Crew and
Space Flight Participants, 71 FR 75616 (Dec. 5, 2006) (final rule); and
Experimental Permits for Reusable Suborbital Rockets, 70 FR 77262 (Dec.
29, 2005) (notice of proposed rulemaking).

Background

    The FAA is required by 51 U.S.C. 50914(b)(2) and 50906(i) to enter
into a reciprocal waiver of claims agreement with the customers of a
licensee or permittee for commercial space flight. The pertinent part
of the regulation for implementing this congressional requirement,
Sec.  440.17(c), currently mandates that the licensee or permittee and
its customer enter into a three-party reciprocal waiver of claims
agreement when conducting a licensed or permitted activity in which the
federal government, any agency, or its contractors and subcontractors
is involved. This requirement also applies to activities where property
insurance is required under Sec.  440.9(d).
    Unfortunately, the FAA has found that this language has created
confusion. The term ``three-party reciprocal waiver,'' in particular,
has prompted some customers of commercial space launches to believe
that only three parties were necessary to complete the waiver, even if
there were multiple customers; and so, under this interpretation, only
one customer was considered necessary to sign the waiver. Further,
Appendix B and Appendix C of part 440 define, ``Customer'' as the
above-named Customer on behalf of the Customer and any person described
in Sec.  440.3 of the regulations. Again, customers sometimes read this
language to suggest that one customer could sign on behalf of the other
customers.
    However, a plain language reading of the statute makes it clear
that Congress intended the government to enter into a reciprocal waiver
of claims with all customers. See 51 U.S.C. 50914(b)(2). Further, the
notice of proposed rulemaking (NPRM) for Sec.  440.17 shows that the
regulation actually captures all customers within the reciprocal waiver
requirement. As noted in the Financial Responsibility NPRM:

    A question has been raised by a payload company as to the
Office's requirements when multiple customers contract with a launch
operator for launch services or there is more than one customer's
payload on the launch manifest for a single launch. In those cases,
executing a single waiver of claims agreement that includes each
customer as a party to the agreement, or executing separate but
appropriately modified agreements, would serve to ensure all parties
have been included and protected as intended.

See Financial Responsibility NPRM, 61 FR at 39012. Also, in practice,
the FAA has held the view that all customers must enter into the
reciprocal waiver of claims and has ensured that each customer enter
into the waiver of claims.

    The changes to Appendix B and Appendix C of part 440 provide
examples of waiver agreements for multiple-customer launches and
reentries. These examples are included for the convenience of parties
involved in commercial space activities. The FAA's intent with these
examples is to clarify that each customer must waive claims against all
other customers, the U.S. Government, and the licensee or permittee.
Each customer is also required to indemnify these other parties against
claims by the customer's own contractors and subcontractors.
    Further, each customer must extend the reciprocal waiver of claims
to its own contractors and subcontractors. However, in no case is any
one customer required to indemnify against claims brought by another
customer, or to extend the reciprocal waiver of claims to other
customers or the contractors and subcontractors of any other customer.
Thus, the definition of ``customer'' in the appendices has been
clarified to ensure that one customer cannot sign on behalf of other

customers. Again, these changes are consistent with the Financial
Responsibility NPRM and FAA policy.
    To maintain consistency, the FAA is also amending paragraph 5(b) of
the reciprocal waiver of claims in the appendices. That paragraph
addresses how a customer holds harmless and indemnifies the other
parties to the waiver and their related entities against claims brought
by the customer's contractors and subcontractors. The FAA is removing
from 5(b) the statement that the customer indemnifies the other parties
against claims brought by any person ``on whose behalf'' the customer
entered into the waiver, namely, under the current but not the new
appendix definition, another customer.
    The FAA is making this change because the language is unnecessary
and incorrect. It is unnecessary because of the FAA's policy and
practice of requiring all customers to sign the required waivers; thus,
a customer should not be signing on behalf of another customer. It is
the licensee who is responsible for obtaining waivers from all
customers. Additionally, the regulations do not require a customer to
indemnify the other parties for claims made by other customers. See 14
CFR 440.17(d). Accordingly, in keeping with this rulemaking's
clarification that all customers sign a reciprocal waiver, the FAA is
removing the statement that a customer must provide indemnification on
behalf of another customer.

List of Subjects in 14 CFR Part 440

    Armed forces, Claims; Federal building and facilities, Government
property, Indemnity payments, Insurance, Reporting and recordkeeping
requirements, Rockets, Space transportation and exploration.

 The Amendments

    In consideration of the foregoing, the Federal Aviation
Administration amends chapter II of title 14, Code of Federal
Regulations as follows:

PART 440--FINANCIAL RESPONSIBILITY

0
1. The authority citation for part 440 is revised to read as follows:

    Authority:  51 U.S.C. 50901-50923; 49 CFR 1.47.

0
2. Amend Sec.  440.17 by revising paragraph (c) to read as follows:

Sec.  440.17  Reciprocal waiver of claims requirement.

* * * * *
    (c) For each licensed or permitted activity in which the U.S.
Government, any agency, or its contractors and subcontractors is
involved or where property insurance is required under Sec.  440.9(d),
the Federal Aviation Administration of the Department of
Transportation, the licensee or permittee, and each customer shall
enter into a reciprocal waiver of claims agreement. The reciprocal
waiver of claims shall be in the form set forth in Appendix B of this
part for licensed activity, in Appendix C of this part for permitted
activity, or in a form that satisfies the requirements.
* * * * *

0
3. Revise Appendix B to part 440 to read as follows:

Appendix B to Part 440--Agreement for Waiver of Claims and Assumption
of Responsibility for Licensed Activities

Part 1--Waiver of Claims and Assumption of Responsibility for Licensed
Launch, Including Suborbital Launch

Subpart A--Waiver of Claims and Assumption of Responsibility for
Licensed Launch, Including Suborbital Launch, With One Customer

    This agreement is entered into this ---- day of --------, by and
among [Licensee] (the ``Licensee''), [Customer] (the ``Customer'')
and the Federal Aviation Administration of the Department of
Transportation, on behalf of the United States Government
(collectively, the ``Parties''), to implement the provisions of
section 440.17(c) of the Commercial Space Transportation Licensing
Regulations, 14 CFR Ch. III (the ``Regulations''). This agreement
applies to the launch of [Payload] payload on a [Launch Vehicle]
vehicle at [Location of Launch Site]. In consideration of the mutual
releases and promises contained herein, the Parties hereby agree as
follows:

1. Definitions

    Contractors and Subcontractors means entities described in Sec.
440.3 of the Regulations.
    Customer means the above-named Customer.
    License means License No. ------------ issued on --------------
----, by the Associate Administrator for Commercial Space
Transportation, Federal Aviation Administration, Department of
Transportation, to the Licensee, including all license orders issued
in connection with the License.
    Licensee means the Licensee and any transferee of the Licensee
under 51 U.S.C. Subtitle V, ch. 509.
    United States means the United States and its agencies involved
in Licensed Activities. Except as otherwise defined herein, terms
used in this Agreement and defined in 51 U.S.C. Subtitle V, ch.
509--Commercial Space Launch Activities, or in the Regulations,
shall have the same meaning as contained in 51 U.S.C. Subtitle V,
ch. 509, or the Regulations, respectively.

2. Waiver and Release of Claims

    (a) Licensee hereby waives and releases claims it may have
against Customer and the United States, and against their respective
Contractors and Subcontractors, for Property Damage it sustains and
for Bodily Injury or Property Damage sustained by its own employees,
resulting from Licensed Activities, regardless of fault.
    (b) Customer hereby waives and releases claims it may have
against Licensee and the United States, and against their respective
Contractors and Subcontractors, for Property Damage it sustains and
for Bodily Injury or Property Damage sustained by its own employees,
resulting from Licensed Activities, regardless of fault.
    (c) The United States hereby waives and releases claims it may
have against Licensee and Customer, and against their respective
Contractors and Subcontractors, for Property Damage it sustains, and
for Bodily Injury or Property Damage sustained by its own employees,
resulting from Licensed Activities, regardless of fault, to the
extent that claims it would otherwise have for such damage or injury
exceed the amount of insurance or demonstration of financial
responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

3. Assumption of Responsibility

    (a) Licensee and Customer shall each be responsible for Property
Damage it sustains and for Bodily Injury or Property Damage
sustained by its own employees, resulting from Licensed Activities,
regardless of fault. Licensee and Customer shall each hold harmless
and indemnify each other, the United States, and the Contractors and
Subcontractors of each Party, for Bodily Injury or Property Damage
sustained by its own employees, resulting from Licensed Activities,
regardless of fault.
    (b) The United States shall be responsible for Property Damage
it sustains, and for Bodily Injury or Property Damage sustained by
its own employees, resulting from Licensed Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage or injury exceed the amount of insurance or demonstration of
financial responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

4. Extension of Assumption of Responsibility and Waiver and Release of
Claims

    (a) Licensee shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(a) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Customer and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify Customer and the United States, and the
respective Contractors and Subcontractors of each, for Bodily Injury
or Property Damage sustained by their own employees, resulting from
Licensed Activities, regardless of fault.

    (b) Customer shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(b) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Licensee and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify Licensee and the United States, and the
respective Contractors and Subcontractors of each, for Bodily Injury
or Property Damage sustained by their own employees, resulting from
Licensed Activities, regardless of fault.
    (c) The United States shall extend the requirements of the
waiver and release of claims, and the assumption of responsibility
as set forth in paragraphs 2(c) and 3(b), respectively, to its
Contractors and Subcontractors by requiring them to waive and
release all claims they may have against Licensee and Customer, and
against the respective Contractors and Subcontractors of each, and
to agree to be responsible, for any Property Damage they sustain and
for any Bodily Injury or Property Damage sustained by their own
employees, resulting from Licensed Activities, regardless of fault,
to the extent that claims they would otherwise have for such damage
or injury exceed the amount of insurance or demonstration of
financial responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

5. Indemnification

    (a) Licensee shall hold harmless and indemnify Customer and its
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, and the United States and its agencies,
servants, agents, subsidiaries, employees and assignees, or any of
them, from and against liability, loss or damage arising out of
claims that Licensee's Contractors and Subcontractors may have for
Property Damage sustained by them and for Bodily Injury or Property
Damage sustained by their employees, resulting from Licensed
Activities.
    (b) Customer shall hold harmless and indemnify Licensee and its
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, and the United States and its agencies,
servants, agents, subsidiaries, employees and assignees, or any of
them, from and against liability, loss or damage arising out of
claims that Customer's Contractors and Subcontractors may have for
Property Damage sustained by them and for Bodily Injury or Property
Damage sustained by their employees, resulting from Licensed
Activities.
    (c) To the extent provided in advance in an appropriations law
or to the extent there is enacted additional legislative authority
providing for the payment of claims, the United States shall hold
harmless and indemnify Licensee and Customer and their respective
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, from and against liability, loss or
damage arising out of claims that Contractors and Subcontractors of
the United States may have for Property Damage sustained by them,
and for Bodily Injury or Property Damage sustained by their
employees, resulting from Licensed Activities, to the extent that
claims they would otherwise have for such damage or injury exceed
the amount of insurance or demonstration of financial responsibility
required under sections 440.9(c) and (e), respectively, of the
Regulations.

6. Assurances Under 51 U.S.C. 50914(e)

    Notwithstanding any provision of this Agreement to the contrary,
Licensee shall hold harmless and indemnify the United States and its
agencies, servants, agents, employees and assignees, or any of them,
from and against liability, loss or damage arising out of claims for
Bodily Injury or Property Damage, resulting from Licensed
Activities, regardless of fault, except to the extent that: (i) As
provided in section 7(b) of this Agreement, claims result from
willful misconduct of the United States or its agents; (ii) claims
for Property Damage sustained by the United States or its
Contractors and Subcontractors exceed the amount of insurance or
demonstration of financial responsibility required under section
440.9(e) of the Regulations; (iii) claims by a Third Party for
Bodily Injury or Property Damage exceed the amount of insurance or
demonstration of financial responsibility required under section
440.9(c) of the Regulations, and do not exceed $1,500,000,000 (as
adjusted for inflation after January 1, 1989) above such amount, and
are payable pursuant to the provisions of 51 U.S.C. 50915 and
section 440.19 of the Regulations; or (iv) Licensee has no liability
for claims exceeding $1,500,000,000 (as adjusted for inflation after
January 1, 1989) above the amount of insurance or demonstration of
financial responsibility required under section 440.9(c) of the
Regulations.

7. Miscellaneous

    (a) Nothing contained herein shall be construed as a waiver or
release by Licensee, Customer or the United States of any claim by
an employee of the Licensee, Customer or the United States,
respectively, including a member of the Armed Forces of the United
States, for Bodily Injury or Property Damage, resulting from
Licensed Activities.
    (b) Notwithstanding any provision of this Agreement to the
contrary, any waiver, release, assumption of responsibility or
agreement to hold harmless and indemnify herein shall not apply to
claims for Bodily Injury or Property Damage resulting from willful
misconduct of any of the Parties, the Contractors and Subcontractors
of any of the Parties, and in the case of Licensee and Customer and
the Contractors and Subcontractors of each of them, the directors,
officers, agents and employees of any of the foregoing, and in the
case of the United States, its agents.
    (c) This Agreement shall be governed by and construed in
accordance with United States Federal law.
    In witness whereof, the Parties to this Agreement have caused
the Agreement to be duly executed by their respective duly
authorized representatives as of the date written above.

Licensee
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Customer
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Federal Aviation Administration of the Department of Transportation
on Behalf of the United States Government
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Associate Administrator for Commercial Space Transportation

Subpart B--Waiver of Claims and Assumption of Responsibility for
Licensed Launch, Including Suborbital Launch, With More Than One
Customer

    This agreement is entered into this ---- day of --------, by and
among [Licensee] (the ``Licensee''); [List of Customers]; (with
[List of Customers] hereinafter referred to in their individual
capacity as ``Customer''); and the Federal Aviation Administration
of the Department of Transportation, on behalf of the United States
Government (collectively, the ``Parties''), to implement the
provisions of section 440.17(c) of the Commercial Space
Transportation Licensing Regulations, 14 CFR Ch. III (the
``Regulations''). This agreement applies to the launch of [Payload]
payload on a [Launch Vehicle] vehicle at [Location of Launch Site].
    In consideration of the mutual releases and promises contained
herein, the Parties hereby agree as follows:

1. Definitions

    Contractors and Subcontractors means entities described in Sec.
440.3 of the Regulations.
    Customer means each above-named Customer.
    License means License No. -------- issued on ----------------,
by the Associate Administrator for Commercial Space Transportation,
Federal Aviation Administration, Department of Transportation, to
the Licensee, including all license orders issued in connection with
the License.
    Licensee means the Licensee and any transferee of the Licensee
under 51 U.S.C. Subtitle V, ch. 509.
    United States means the United States and its agencies involved
in Licensed Activities. Except as otherwise defined herein, terms
used in this Agreement and defined in 51 U.S.C. Subtitle V, ch.
509--Commercial Space Launch Activities, or in the Regulations,
shall have the same meaning as contained in 51 U.S.C. Subtitle V,
ch. 509, or the Regulations, respectively.

2. Waiver and Release of Claims

    (a) Licensee hereby waives and releases claims it may have
against each Customer and the United States, and against their
respective Contractors and Subcontractors, for Property Damage it
sustains and for Bodily Injury or Property Damage sustained by its
own employees, resulting from Licensed Activities, regardless of
fault.
    (b) Each Customer hereby waives and releases claims it may have
against each other Customer, the Licensee and the United

States, and against their respective Contractors and Subcontractors,
for Property Damage it sustains and for Bodily Injury or Property
Damage sustained by its own employees, resulting from Licensed
Activities, regardless of fault.
    (c) The United States hereby waives and releases claims it may
have against Licensee and each Customer, and against their
respective Contractors and Subcontractors, for Property Damage it
sustains, and for Bodily Injury or Property Damage sustained by its
own employees, resulting from Licensed Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage or injury exceed the amount of insurance or demonstration of
financial responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

3. Assumption of Responsibility

    (a) Licensee and each Customer shall each be responsible for
Property Damage it sustains and for Bodily Injury or Property Damage
sustained by its own employees, resulting from Licensed Activities,
regardless of fault. Licensee and each Customer shall each hold
harmless and indemnify each other, the United States, and the
Contractors and Subcontractors of each Party, for Bodily Injury or
Property Damage sustained by its own employees, resulting from
Licensed Activities, regardless of fault.
    (b) The United States shall be responsible for Property Damage
it sustains, and for Bodily Injury or Property Damage sustained by
its own employees, resulting from Licensed Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage or injury exceed the amount of insurance or demonstration of
financial responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

4. Extension of Assumption of Responsibility and Waiver and Release of
Claims

    (a) Licensee shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(a) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
each Customer and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify each Customer and the United States, and
the respective Contractors and Subcontractors of each, for Bodily
Injury or Property Damage sustained by their own employees,
resulting from Licensed Activities, regardless of fault.
    (b) Each Customer shall extend the requirements of the waiver
and release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(b) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Licensee, each other Customer and the United States, and against the
respective Contractors and Subcontractors of each, and to agree to
be responsible, for Property Damage they sustain and to be
responsible, hold harmless and indemnify Licensee, each other
Customer and the United States, and the respective Contractors and
Subcontractors of each, for Bodily Injury or Property Damage
sustained by their own employees, resulting from Licensed
Activities, regardless of fault.
    (c) The United States shall extend the requirements of the
waiver and release of claims, and the assumption of responsibility
as set forth in paragraphs 2(c) and 3(b), respectively, to its
Contractors and Subcontractors by requiring them to waive and
release all claims they may have against Licensee and each Customer,
and against the respective Contractors and Subcontractors of each,
and to agree to be responsible, for any Property Damage they sustain
and for any Bodily Injury or Property Damage sustained by their own
employees, resulting from Licensed Activities, regardless of fault,
to the extent that claims they would otherwise have for such damage
or injury exceed the amount of insurance or demonstration of
financial responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

5. Indemnification

    (a) Licensee shall hold harmless and indemnify each Customer and
its directors, officers, servants, agents, subsidiaries, employees
and assignees, or any of them, and the United States and its
agencies, servants, agents, subsidiaries, employees and assignees,
or any of them, from and against liability, loss or damage arising
out of claims that Licensee's Contractors and Subcontractors may
have for Property Damage sustained by them and for Bodily Injury or
Property Damage sustained by their employees, resulting from
Licensed Activities.
    (b) Each Customer shall hold harmless and indemnify each other
Customer and its directors, officers, servants, agents,
subsidiaries, employees and assignees, or any of them, and the
Licensee and its directors, officers, servants, agents,
subsidiaries, employees and assignees, or any of them, and the
United States and its agencies, servants, agents, subsidiaries,
employees and assignees, or any of them, from and against liability,
loss or damage arising out of claims that the first-named Customer's
Contractors and Subcontractors may have for Property Damage
sustained by them and for Bodily Injury or Property Damage sustained
by their employees, resulting from Licensed Activities.
    (c) To the extent provided in advance in an appropriations law
or to the extent there is enacted additional legislative authority
providing for the payment of claims, the United States shall hold
harmless and indemnify Licensee and each Customer and their
respective directors, officers, servants, agents, subsidiaries,
employees and assignees, or any of them, from and against liability,
loss or damage arising out of claims that Contractors and
Subcontractors of the United States may have for Property Damage
sustained by them, and for Bodily Injury or Property Damage
sustained by their employees, resulting from Licensed Activities, to
the extent that claims they would otherwise have for such damage or
injury exceed the amount of insurance or demonstration of financial
responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

6. Assurances Under 51 U.S.C. 50914(e)

    Notwithstanding any provision of this Agreement to the contrary,
Licensee shall hold harmless and indemnify the United States and its
agencies, servants, agents, employees and assignees, or any of them,
from and against liability, loss or damage arising out of claims for
Bodily Injury or Property Damage, resulting from Licensed
Activities, regardless of fault, except to the extent that: (i) As
provided in section 7(b) of this Agreement, claims result from
willful misconduct of the United States or its agents; (ii) claims
for Property Damage sustained by the United States or its
Contractors and Subcontractors exceed the amount of insurance or
demonstration of financial responsibility required under section
440.9(e) of the Regulations; (iii) claims by a Third Party for
Bodily Injury or Property Damage exceed the amount of insurance or
demonstration of financial responsibility required under section
440.9(c) of the Regulations, and do not exceed $1,500,000,000 (as
adjusted for inflation after January 1, 1989) above such amount, and
are payable pursuant to the provisions of 51 U.S.C. 50915 and
section 440.19 of the Regulations; or (iv) Licensee has no liability
for claims exceeding $1,500,000,000 (as adjusted for inflation after
January 1, 1989) above the amount of insurance or demonstration of
financial responsibility required under section 440.9(c) of the
Regulations.

7. Miscellaneous

    (a) Nothing contained herein shall be construed as a waiver or
release by Licensee, any Customer or the United States of any claim
by an employee of the Licensee, any Customer or the United States,
respectively, including a member of the Armed Forces of the United
States, for Bodily Injury or Property Damage, resulting from
Licensed Activities.
    (b) Notwithstanding any provision of this Agreement to the
contrary, any waiver, release, assumption of responsibility or
agreement to hold harmless and indemnify herein shall not apply to
claims for Bodily Injury or Property Damage resulting from willful
misconduct of any of the Parties, the Contractors and Subcontractors
of any of the Parties, and in the case of Licensee and each Customer
and the Contractors and Subcontractors of each of them, the
directors, officers, agents and employees of any of the foregoing,
and in the case of the United States, its agents.
    (c) References herein to Customer shall apply to, and be deemed
to include, each such customer severally and not jointly.
    (d) This Agreement shall be governed by and construed in
accordance with United States Federal law.
    In witness whereof, the Parties to this Agreement have caused
the Agreement to be duly executed by their respective duly
authorized representatives as of the date written above.

Licensee
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Customer 1
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

[Signature lines for each additional customer]

Federal Aviation Administration of the Department of Transportation
on Behalf of the United States Government
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Associate Administrator for Commercial Space Transportation

Part 2--Waiver of Claims and Assumption of Responsibility for Licensed
Reentry

Subpart A--Waiver of Claims and Assumption of Responsibility for
Licensed Reentry With One Customer

    This Agreement is entered into this ---- day of --------, by and
among [Licensee] (the ``Licensee''), [Customer] (the ``Customer''),
and the Federal Aviation Administration of the Department of
Transportation, on behalf of the United States Government
(collectively, the ``Parties''), to implement the provisions of
Sec.  440.17(c) of the Commercial Space Transportation Licensing
Regulations, 14 CFR Ch. III (the ``Regulations''). This agreement
applies to the reentry of the [Payload] payload on a [Reentry
Vehicle] vehicle.
    In consideration of the mutual releases and promises contained
herein, the Parties hereby agree as follows:

1. Definitions

    Contractors and Subcontractors means entities described in Sec.
440.3 of the Regulations.
    Customer means the above-named Customer.
    License means License No. ---- issued on --------, by the
Associate Administrator for Commercial Space Transportation, Federal
Aviation Administration, Department of Transportation, to the
Licensee, including all license orders issued in connection with the
License.
    Licensee means the Licensee and any transferee of the Licensee
under 51 U.S.C. Subtitle V, ch. 509.
    United States means the United States and its agencies involved
in Licensed Activities. Except as otherwise defined herein, terms
used in this Agreement and defined in 51 U.S.C. Subtitle V, ch.
509--Commercial Space Launch Activities, or in the Regulations,
shall have the same meaning as contained in 51 U.S.C. Subtitle V,
ch. 509, or the Regulations, respectively.

2. Waiver and Release of Claims

    (a) Licensee hereby waives and releases claims it may have
against Customer and the United States, and against their respective
Contractors and Subcontractors, for Property Damage it sustains and
for Bodily Injury or Property Damage sustained by its own employees,
resulting from Licensed Activities, regardless of fault.
    (b) Customer hereby waives and releases claims it may have
against Licensee and the United States, and against their respective
Contractors and Subcontractors, for Property Damage it sustains and
for Bodily Injury or Property Damage sustained by its own employees,
resulting from Licensed Activities, regardless of fault.
    (c) The United States hereby waives and releases claims it may
have against Licensee and Customer, and against their respective
Contractors and Subcontractors, for Property Damage it sustains, and
for Bodily Injury or Property Damage sustained by its own employees,
resulting from Licensed Activities, regardless of fault, to the
extent that claims it would otherwise have for such damage or injury
exceed the amount of insurance or demonstration of financial
responsibility required under sections 440.9(c) and (e) of the
Regulations.

3. Assumption of Responsibility

    (a) Licensee and Customer shall each be responsible for Property
Damage it sustains and for Bodily Injury or Property Damage
sustained by its own employees, resulting from Licensed Activities,
regardless of fault. Licensee and Customer shall each hold harmless
and indemnify each other, the United States, and the Contractors and
Subcontractors of each Party, for Bodily Injury or Property Damage
sustained by its own employees, resulting from Licensed Activities,
regardless of fault.
    (b) The United States shall be responsible for Property Damage
it sustains, and for Bodily Injury or Property Damage sustained by
its own employees, resulting from Licensed Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage or injury exceed the amount of insurance or demonstration of
financial responsibility required under Sec. Sec.  440.9(c) and (e)
of the Regulations.

4. Extension of Assumption of Responsibility and Waiver and Release of
Claims

    (a) Licensee shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(a) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Customer and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify Customer and the United States, and the
respective Contractors and Subcontractors of each, for Bodily Injury
or Property Damage sustained by their own employees, resulting from
Licensed Activities, regardless of fault.
    (b) Customer shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(b) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Licensee and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify Licensee and the United States, and the
respective Contractors and Subcontractors of each, for Bodily Injury
or Property Damage sustained by their own employees, resulting from
Licensed Activities, regardless of fault.
    (c) The United States shall extend the requirements of the
waiver and release of claims, and the assumption of responsibility
as set forth in paragraphs 2(c) and 3(b), respectively, to its
Contractors and Subcontractors by requiring them to waive and
release all claims they may have against Licensee and Customer, and
against the respective Contractors and Subcontractors of each, and
to agree to be responsible, for any Property Damage they sustain and
for any Bodily Injury or Property Damage sustained by their own
employees, resulting from Licensed Activities, regardless of fault,
to the extent that claims they would otherwise have for such damage
or injury exceed the amount of insurance or demonstration of
financial responsibility required under Sec. Sec.  440.9(c) and (e)
of the Regulations.

5. Indemnification

    (a) Licensee shall hold harmless and indemnify Customer and its
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, and the United States and its agencies,
servants, agents, subsidiaries, employees and assignees, or any of
them, from and against liability, loss or damage arising out of
claims that Licensee's Contractors and Subcontractors may have for
Property Damage sustained by them and for Bodily Injury or Property
Damage sustained by their employees, resulting from Licensed
Activities.
    (b) Customer shall hold harmless and indemnify Licensee and its
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, and the United States and its agencies,
servants, agents, subsidiaries, employees or assignees, or any of
them, from and against liability, loss or damage arising out of
claims that Customer's Contractors and Subcontractors may have for
Property Damage sustained by them and for Bodily Injury or Property
Damage sustained by their employees, resulting from Licensed
Activities.
    (c) To the extent provided in advance in an appropriations law
or to the extent there is enacted additional legislative authority
providing for the payment of claims, the United States shall hold
harmless and indemnify Licensee and Customer and their respective
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, from and against liability, loss or
damage arising out of claims that Contractors and Subcontractors of
the United States may have for Property Damage sustained by them,
and for Bodily Injury or Property Damage sustained by their
employees, resulting from Licensed Activities, to the extent that
claims they would otherwise have for such damage or injury exceed
the amount of insurance or demonstration of financial responsibility
required under Sec. Sec.  440.9(c) and (e) of the Regulations.

6. Assurances Under 51 U.S.C. 50914(e)

    Notwithstanding any provision of this Agreement to the contrary,
Licensee shall hold harmless and indemnify the United States and its
agencies, servants, agents,

employees and assignees, or any of them, from and against liability,
loss or damage arising out of claims for Bodily Injury or Property
Damage, resulting from Licensed Activities, regardless of fault,
except to the extent that: (i) As provided in section 7(b) of this
Agreement, claims result from willful misconduct of the United
States or its agents; (ii) claims for Property Damage sustained by
the United States or its Contractors and Subcontractors exceed the
amount of insurance or demonstration of financial responsibility
required under Sec.  440.9(e) of the Regulations; (iii) claims by a
Third Party for Bodily Injury or Property Damage exceed the amount
of insurance or demonstration of financial responsibility required
under Sec.  440.9(c) of the Regulations, and do not exceed
$1,500,000,000 (as adjusted for inflation after January 1, 1989)
above such amount, and are payable pursuant to the provisions of 51
U.S.C. 50915 and Sec.  440.19 of the Regulations; or (iv) Licensee
has no liability for claims exceeding $1,500,000,000 (as adjusted
for inflation after January 1, 1989) above the amount of insurance
or demonstration of financial responsibility required under Sec.
440.9(c) of the Regulations.

7. Miscellaneous

    (a) Nothing contained herein shall be construed as a waiver or
release by Licensee, Customer or the United States of any claim by
an employee of the Licensee, Customer or the United States,
respectively, including a member of the Armed Forces of the United
States, for Bodily Injury or Property Damage, resulting from
Licensed Activities.
    (b) Notwithstanding any provision of this Agreement to the
contrary, any waiver, release, assumption of responsibility or
agreement to hold harmless and indemnify herein shall not apply to
claims for Bodily Injury or Property Damage resulting from willful
misconduct of any of the Parties, the Contractors and Subcontractors
of any of the Parties, and in the case of Licensee and Customer and
the Contractors and Subcontractors of each of them, the directors,
officers, agents and employees of any of the foregoing, and in the
case of the United States, its agents.
    (c) This Agreement shall be governed by and construed in
accordance with United States Federal law.
    In Witness Whereof, the Parties to this Agreement have caused
the Agreement to be duly executed by their respective duly
authorized representatives as of the date written above.

Licensee
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Customer
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Federal Aviation Administration of the Department of Transportation
on Behalf of the United States Government
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Associate Administrator for Commercial Space Transportation

Subpart B--Waiver of Claims and Assumption of Responsibility for
Licensed Reentry With More Than One Customer

    This agreement is entered into this ---- day of --------, by and
among [Licensee] (the ``Licensee''); [List of Customers] (with [List
of Customers] hereinafter referred to in their individual capacity
as ``Customer''); and the Federal Aviation Administration of the
Department of Transportation, on behalf of the United States
Government (collectively, the ``Parties''), to implement the
provisions of section 440.17(c) of the Commercial Space
Transportation Licensing Regulations, 14 CFR Ch. III (the
``Regulations''). This agreement applies to the reentry of [Payload]
payload on a [Reentry Vehicle] vehicle.
    In consideration of the mutual releases and promises contained
herein, the Parties hereby agree as follows:

1. Definitions

    Contractors and Subcontractors means entities described in Sec.
440.3 of the Regulations.
    Customer means each above-named Customer.
    License means License No. ---- issued on --------, by the
Associate Administrator for Commercial Space Transportation, Federal
Aviation Administration, Department of Transportation, to the
Licensee, including all license orders issued in connection with the
License.
    Licensee means the Licensee and any transferee of the Licensee
under 51 U.S.C. Subtitle V, ch. 509.
    United States means the United States and its agencies involved
in Licensed Activities. Except as otherwise defined herein, terms
used in this Agreement and defined in 51 U.S.C. Subtitle V, ch.
509--Commercial Space Launch Activities, or in the Regulations,
shall have the same meaning as contained in 51 U.S.C. Subtitle V,
ch. 509, or the Regulations, respectively.

2. Waiver and Release of Claims

    (a) Licensee hereby waives and releases claims it may have
against each Customer and the United States, and against their
respective Contractors and Subcontractors, for Property Damage it
sustains and for Bodily Injury or Property Damage sustained by its
own employees, resulting from Licensed Activities, regardless of
fault.
    (b) Each Customer hereby waives and releases claims it may have
against each other Customer, the Licensee and the United States, and
against their respective Contractors and Subcontractors, for
Property Damage it sustains and for Bodily Injury or Property Damage
sustained by its own employees, resulting from Licensed Activities,
regardless of fault.
    (c) The United States hereby waives and releases claims it may
have against Licensee and each Customer, and against their
respective Contractors and Subcontractors, for Property Damage it
sustains, and for Bodily Injury or Property Damage sustained by its
own employees, resulting from Licensed Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage or injury exceed the amount of insurance or demonstration of
financial responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

3. Assumption of Responsibility

    (a) Licensee and each Customer shall each be responsible for
Property Damage it sustains and for Bodily Injury or Property Damage
sustained by its own employees, resulting from Licensed Activities,
regardless of fault. Licensee and each Customer shall each hold
harmless and indemnify each other, the United States, and the
Contractors and Subcontractors of each Party, for Bodily Injury or
Property Damage sustained by its own employees, resulting from
Licensed Activities, regardless of fault.
    (b) The United States shall be responsible for Property Damage
it sustains, and for Bodily Injury or Property Damage sustained by
its own employees, resulting from Licensed Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage or injury exceed the amount of insurance or demonstration of
financial responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

4. Extension of Assumption of Responsibility and Waiver and Release of
Claims

    (a) Licensee shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(a) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
each Customer and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify each Customer and the United States, and
the respective Contractors and Subcontractors of each, for Bodily
Injury or Property Damage sustained by their own employees,
resulting from Licensed Activities, regardless of fault.
    (b) Each Customer shall extend the requirements of the waiver
and release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(b) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Licensee, each other Customer and the United States, and against the
respective Contractors and Subcontractors of each, and to agree to
be responsible, for Property Damage they sustain and to be
responsible, hold harmless and indemnify Licensee, each other
Customer and the United States, and the respective Contractors and
Subcontractors of each, for Bodily Injury or Property Damage
sustained by their own employees, resulting from Licensed
Activities, regardless of fault.
    (c) The United States shall extend the requirements of the
waiver and release of claims, and the assumption of responsibility
as set forth in paragraphs 2(c) and 3(b), respectively, to its
Contractors and Subcontractors by requiring them to waive and
release all claims they may have against Licensee and each Customer,
and against the respective Contractors and Subcontractors of

each, and to agree to be responsible, for any Property Damage they
sustain and for any Bodily Injury or Property Damage sustained by
their own employees, resulting from Licensed Activities, regardless
of fault, to the extent that claims they would otherwise have for
such damage or injury exceed the amount of insurance or
demonstration of financial responsibility required under sections
440.9(c) and (e), respectively, of the Regulations.

5. Indemnification

    (a) Licensee shall hold harmless and indemnify each Customer and
its directors, officers, servants, agents, subsidiaries, employees
and assignees, or any of them, and the United States and its
agencies, servants, agents, subsidiaries, employees and assignees,
or any of them, from and against liability, loss or damage arising
out of claims that Licensee's Contractors and Subcontractors may
have for Property Damage sustained by them and for Bodily Injury or
Property Damage sustained by their employees, resulting from
Licensed Activities.
    (b) Each Customer shall hold harmless and indemnify each other
Customer and its directors, officers, servants, agents,
subsidiaries, employees and assignees, or any of them, and the
Licensee and its directors, officers, servants, agents,
subsidiaries, employees and assignees, or any of them, and the
United States and its agencies, servants, agents, subsidiaries,
employees and assignees, or any of them, from and against liability,
loss or damage arising out of claims that the first-named Customer's
Contractors and Subcontractors may have for Property Damage
sustained by them and for Bodily Injury or Property Damage sustained
by their employees, resulting from Licensed Activities.
    (c) To the extent provided in advance in an appropriations law
or to the extent there is enacted additional legislative authority
providing for the payment of claims, the United States shall hold
harmless and indemnify Licensee and each Customer and their
respective directors, officers, servants, agents, subsidiaries,
employees and assignees, or any of them, from and against liability,
loss or damage arising out of claims that Contractors and
Subcontractors of the United States may have for Property Damage
sustained by them, and for Bodily Injury or Property Damage
sustained by their employees, resulting from Licensed Activities, to
the extent that claims they would otherwise have for such damage or
injury exceed the amount of insurance or demonstration of financial
responsibility required under sections 440.9(c) and (e),
respectively, of the Regulations.

6. Assurances Under 51 U.S.C. 50914(e)

    Notwithstanding any provision of this Agreement to the contrary,
Licensee shall hold harmless and indemnify the United States and its
agencies, servants, agents, employees and assignees, or any of them,
from and against liability, loss or damage arising out of claims for
Bodily Injury or Property Damage, resulting from Licensed
Activities, regardless of fault, except to the extent that: (i) As
provided in section 7(b) of this Agreement, claims result from
willful misconduct of the United States or its agents; (ii) claims
for Property Damage sustained by the United States or its
Contractors and Subcontractors exceed the amount of insurance or
demonstration of financial responsibility required under section
440.9(e) of the Regulations; (iii) claims by a Third Party for
Bodily Injury or Property Damage exceed the amount of insurance or
demonstration of financial responsibility required under section
440.9(c) of the Regulations, and do not exceed $1,500,000,000 (as
adjusted for inflation after January 1, 1989) above such amount, and
are payable pursuant to the provisions of 51 U.S.C. 50915 and
section 440.19 of the Regulations; or (iv) Licensee has no liability
for claims exceeding $1,500,000,000 (as adjusted for inflation after
January 1, 1989) above the amount of insurance or demonstration of
financial responsibility required under section 440.9(c) of the
Regulations.

7. Miscellaneous

    (a) Nothing contained herein shall be construed as a waiver or
release by Licensee, any Customer or the United States of any claim
by an employee of the Licensee, any Customer or the United States,
respectively, including a member of the Armed Forces of the United
States, for Bodily Injury or Property Damage, resulting from
Licensed Activities.
    (b) Notwithstanding any provision of this Agreement to the
contrary, any waiver, release, assumption of responsibility or
agreement to hold harmless and indemnify herein shall not apply to
claims for Bodily Injury or Property Damage resulting from willful
misconduct of any of the Parties, the Contractors and Subcontractors
of any of the Parties, and in the case of Licensee and each Customer
and the Contractors and Subcontractors of each of them, the
directors, officers, agents and employees of any of the foregoing,
and in the case of the United States, its agents.
    (c) References herein to Customer shall apply to, and be deemed
to include, each such customer severally and not jointly.
    (d) This Agreement shall be governed by and construed in
accordance with United States Federal law.
    In witness whereof, the Parties to this Agreement have caused
the Agreement to be duly executed by their respective duly
authorized representatives as of the date written above.

Licensee
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Customer 1
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------
[Signature lines for each additional customer]

Federal Aviation Administration of the Department of Transportation
on Behalf of the United States Government
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------
Associate Administrator for Commercial Space Transportation

0
4. Revise Appendix C to part 440 to read as follows:

Appendix C to Part 440--Agreement for Waiver of Claims and Assumption
of Responsibility for Permitted Activities

Part 1--Waiver of Claims and Assumption of Responsibility for Permitted
Activities With One Customer

    This agreement is entered into this ---- day of --------, by and
among [Permittee] (the ``Permittee''), [Customer] (the ``Customer'')
and the Federal Aviation Administration of the Department of
Transportation, on behalf of the United States Government
(collectively, the ``Parties''), to implement the provisions of
section 440.17(c) of the Commercial Space Transportation Licensing
Regulations, 14 CFR Ch. III (the ``Regulations''). This agreement
applies to [describe permitted activity]. In consideration of the
mutual releases and promises contained herein, the Parties hereby
agree as follows:

1. Definitions

    Customer means the above-named Customer.
    Permit means Permit No. ---- issued on --------, by the
Associate Administrator for Commercial Space Transportation, Federal
Aviation Administration, Department of Transportation, to the
Permittee, including all permit orders issued in connection with the
Permit.
    Permittee means the holder of the Permit issued under 51 U.S.C.
Subtitle V, ch. 509.
    United States means the United States and its agencies involved
in Permitted Activities.
    Except as otherwise defined herein, terms used in this Agreement
and defined in 51 U.S.C. Subtitle V, ch. 509--Commercial Space
Launch Activities, or in the Regulations, shall have the same
meaning as contained in 51 U.S.C. Subtitle V, ch. 509, or the
Regulations, respectively.

2. Waiver and Release of Claims

    (a) Permittee hereby waives and releases claims it may have
against Customer and the United States, and against their respective
Contractors and Subcontractors, for Property Damage it sustains and
for Bodily Injury or Property Damage sustained by its own employees,
resulting from Permitted Activities, regardless of fault.
    (b) Customer hereby waives and releases claims it may have
against Permittee and the United States, and against their
respective Contractors and Subcontractors, for Property Damage it
sustains and for Bodily Injury or Property Damage sustained by its
own employees, resulting from Permitted Activities, regardless of
fault.
    (c) The United States hereby waives and releases claims it may
have against Permittee and Customer, and against their respective
Contractors and Subcontractors, for Property Damage it sustains
resulting from Permitted Activities, regardless of fault, to the
extent that claims it would otherwise have for such damage exceed
the amount of insurance or demonstration of financial responsibility
required under section 440.9(e) of the Regulations.

3. Assumption of Responsibility

    (a) Permittee and Customer shall each be responsible for
Property Damage it sustains

and for Bodily Injury or Property Damage sustained by its own
employees, resulting from Permitted Activities, regardless of fault.
Permittee and Customer shall each hold harmless and indemnify each
other, the United States, and the Contractors and Subcontractors of
each Party, for Bodily Injury or Property Damage sustained by its
own employees, resulting from Permitted Activities, regardless of
fault.
    (b) The United States shall be responsible for Property Damage
it sustains, resulting from Permitted Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage exceed the amount of insurance or demonstration of financial
responsibility required under section 440.9(e) of the Regulations.

4. Extension of Assumption of Responsibility and Waiver and Release
of Claims

    (a) Permittee shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(a) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Customer and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify Customer and the United States, and the
respective Contractors and Subcontractors of each, for Bodily Injury
or Property Damage sustained by their own employees, resulting from
Permitted Activities, regardless of fault.
    (b) Customer shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(b) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Permittee and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify Permittee and the United States, and the
respective Contractors and Subcontractors of each, for Bodily Injury
or Property Damage sustained by their own employees, resulting from
Permitted Activities, regardless of fault.
    (c) The United States shall extend the requirements of the
waiver and release of claims, and the assumption of responsibility
as set forth in paragraphs 2(c) and 3(b), respectively, to its
Contractors and Subcontractors by requiring them to waive and
release all claims they may have against Permittee and Customer, and
against the respective Contractors and Subcontractors of each, and
to agree to be responsible, for any Property Damage they sustain,
resulting from Permitted Activities, regardless of fault, to the
extent that claims they would otherwise have for such damage exceed
the amount of insurance or demonstration of financial responsibility
required under section 440.9(e) of the Regulations.

5. Indemnification

    (a) Permittee shall hold harmless and indemnify Customer and its
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, and the United States and its agencies,
servants, agents, subsidiaries, employees and assignees, or any of
them, from and against liability, loss or damage arising out of
claims that Permittee's Contractors and Subcontractors may have for
Property Damage sustained by them and for Bodily Injury or Property
Damage sustained by their employees, resulting from Permitted
Activities.
    (b) Customer shall hold harmless and indemnify Permittee and its
directors, officers, servants, agents, subsidiaries, employees and
assignees, or any of them, and the United States and its agencies,
servants, agents, subsidiaries, employees and assignees, or any of
them, from and against liability, loss or damage arising out of
claims that Customer's Contractors and Subcontractors, may have for
Property Damage sustained by them and for Bodily Injury or Property
Damage sustained by their employees, resulting from Permitted
Activities.

6. Assurances Under 51 U.S.C. 50914(e)

    Notwithstanding any provision of this Agreement to the contrary,
Permittee shall hold harmless and indemnify the United States and
its agencies, servants, agents, employees and assignees, or any of
them, from and against liability, loss or damage arising out of
claims for Bodily Injury or Property Damage, resulting from
Permitted Activities, regardless of fault, except to the extent that
it is provided in section 7(b) of this Agreement, except to the
extent that claims (i) result from willful misconduct of the United
States or its agents and (ii) for Property Damage sustained by the
United States or its Contractors and Subcontractors exceed the
amount of insurance or demonstration of financial responsibility
required under section 440.9(e) of the Regulations.

7. Miscellaneous

    (a) Nothing contained herein shall be construed as a waiver or
release by Permittee, Customer or the United States of any claim by
an employee of the Permittee, Customer or the United States,
respectively, including a member of the Armed Forces of the United
States, for Bodily Injury or Property Damage, resulting from
Permitted Activities.
    (b) Notwithstanding any provision of this Agreement to the
contrary, any waiver, release, assumption of responsibility or
agreement to hold harmless and indemnify herein shall not apply to
claims for Bodily Injury or Property Damage resulting from willful
misconduct of any of the Parties, the Contractors and Subcontractors
of any of the Parties, and in the case of Permittee and Customer and
the Contractors and Subcontractors of each of them, the directors,
officers, agents and employees of any of the foregoing, and in the
case of the United States, its agents.
    (c) This Agreement shall be governed by and construed in
accordance with United States Federal law.
    In witness whereof, the Parties to this Agreement have caused
the Agreement to be duly executed by their respective duly
authorized representatives as of the date written above.

Permittee
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Customer
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Federal Aviation Administration of the Department of Transportation
on Behalf of the United States Government
By:--------------------------------------------------------------------
 Its:------------------------------------------------------------------

Associate Administrator for Commercial Space Transportation

Part 2--Waiver of Claims and Assumption of Responsibility for Permitted
Activities With More Than One Customer

    This agreement is entered into this -------- day of ------------
----, by and among [Permittee] (the ``Permittee''); [List of
Customers]; (with [List of Customers] hereinafter referred to in
their individual capacity as ``Customer''); and the Federal Aviation
Administration of the Department of Transportation, on behalf of the
United States Government (collectively, the ``Parties''), to
implement the provisions of section 440.17(c) of the Commercial
Space Transportation Licensing Regulations, 14 CFR Ch. III (the
``Regulations''). This agreement applies to [describe permitted
activity].
    In consideration of the mutual releases and promises contained
herein, the Parties hereby agree as follows:

1. Definitions

    Customer means each above-named Customer.
    Permit means Permit No. ------ issued on ------------------, by
the Associate Administrator for Commercial Space Transportation,
Federal Aviation Administration, Department of Transportation, to
the Permittee, including all permit orders issued in connection with
the Permit.
    Permittee means the holder of the Permit issued under 51 U.S.C.
Subtitle V, ch. 509.
    United States means the United States and its agencies involved
in Permitted Activities.
    Except as otherwise defined herein, terms used in this Agreement
and defined in 51 U.S.C. Subtitle V, ch. 509--Commercial Space
Launch Activities, or in the Regulations, shall have the same
meaning as contained in 51 U.S.C. Subtitle V, ch. 509, or the
Regulations, respectively.

2. Waiver and Release of Claims

    (a) Permittee hereby waives and releases claims it may have
against each Customer and the United States, and against their
respective Contractors and Subcontractors, for Property Damage it
sustains and for Bodily Injury or Property Damage sustained by its
own employees, resulting from Permitted Activities, regardless of
fault.
    (b) Each Customer hereby waives and releases claims it may have
against each other Customer, the Permittee and the United

States, and against their respective Contractors and Subcontractors,
for Property Damage it sustains and for Bodily Injury or Property
Damage sustained by its own employees, resulting from Permitted
Activities, regardless of fault.
    (c) The United States hereby waives and releases claims it may
have against Permittee and each Customer, and against their
respective Contractors and Subcontractors, for Property Damage it
sustains resulting from Permitted Activities, regardless of fault,
to the extent that claims it would otherwise have for such damage or
injury exceed the amount of insurance or demonstration of financial
responsibility required under section 440.9(e) of the Regulations.

3. Assumption of Responsibility

    (a) Permittee and each Customer shall each be responsible for
Property Damage it sustains and for Bodily Injury or Property Damage
sustained by its own employees, resulting from Permitted Activities,
regardless of fault. Permittee and each Customer shall each hold
harmless and indemnify each other, the United States, and the
Contractors and Subcontractors of each Party, for Bodily Injury or
Property Damage sustained by its own employees, resulting from
Permitted Activities, regardless of fault.
    (b) The United States shall be responsible for Property Damage
it sustains, resulting from Permitted Activities, regardless of
fault, to the extent that claims it would otherwise have for such
damage or injury exceed the amount of insurance or demonstration of
financial responsibility required under section 440.9(e) of the
Regulations.

4. Extension of Assumption of Responsibility and Waiver and Release
of Claims

    (a) Permittee shall extend the requirements of the waiver and
release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(a) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
each Customer and the United States, and against the respective
Contractors and Subcontractors of each, and to agree to be
responsible, for Property Damage they sustain and to be responsible,
hold harmless and indemnify each Customer and the United States, and
the respective Contractors and Subcontractors of each, for Bodily
Injury or Property Damage sustained by their own employees,
resulting from Permitted Activities, regardless of fault.
    (b) Each Customer shall extend the requirements of the waiver
and release of claims, and the assumption of responsibility, hold
harmless, and indemnification, as set forth in paragraphs 2(b) and
3(a), respectively, to its Contractors and Subcontractors by
requiring them to waive and release all claims they may have against
Permittee, each other Customer and the United States, and against
the respective Contractors and Subcontractors of each, and to agree
to be responsible, for Property Damage they sustain and to be
responsible, hold harmless and indemnify Permittee, each other
Customer and the United States, and the respective Contractors and
Subcontractors of each, for Bodily Injury or Property Damage
sustained by their own employees, resulting from Permitted
Activities, regardless of fault.
    (c) The United States shall extend the requirements of the
waiver and release of claims, and the assumption of responsibility
as set forth in paragraphs 2(c) and 3(b), respectively, to its
Contractors and Subcontractors by requiring them to waive and
release all claims they may have against Permittee and each
Customer, and against the respective Contractors and Subcontractors
of each, and to agree to be responsible, for any Property Damage
they sustain and for any Bodily Injury or Property Damage sustained
by their own employees, resulting from Permitted Activities,
regardless of fault, to the extent that claims they would otherwise
have for such damage or injury exceed the amount of insurance or
demonstration of financial responsibility required under section
440.9(e) of the Regulations.

5. Indemnification

    (a) Permittee shall hold harmless and indemnify each Customer
and its directors, officers, servants, agents, subsidiaries,
employees and assignees, or any of them, and the United States and
its agencies, servants, agents, subsidiaries, employees and
assignees, or any of them, from and against liability, loss or
damage arising out of claims that Permittee's Contractors and
Subcontractors may have for Property Damage sustained by them and
for Bodily Injury or Property Damage sustained by their employees,
resulting from Permitted Activities.
    (b) Each Customer shall hold harmless and indemnify each other
Customer and its directors, officers, servants, agents,
subsidiaries, employees and assignees, or any of them, and the
Permittee and its directors, officers, servants, agents,
subsidiaries, employees and assignees, or any of them, and the
United States and its agencies, servants, agents, subsidiaries,
employees and assignees, or any of them, from and against liability,
loss or damage arising out of claims that the first-named Customer's
Contractors and Subcontractors may have for Property Damage
sustained by them and for Bodily Injury or Property Damage sustained
by their employees, resulting from Permitted Activities.

6. Assurances Under 51 U.S.C. 50914(e)

    Notwithstanding any provision of this Agreement to the contrary,
Permittee shall hold harmless and indemnify the United States and
its agencies, servants, agents, employees and assignees, or any of
them, from and against liability, loss or damage arising out of
claims for Bodily Injury or Property Damage, resulting from
Permitted Activities, regardless of fault, except to the extent that
it is provided in section 7(b) of this Agreement, except to the
extent that claims: (i) Result from willful misconduct of the United
States or its agents and (ii) for Property Damage sustained by the
United States or its Contractors and Subcontractors exceed the
amount of insurance or demonstration of financial responsibility
required under section 440.9(e) of the Regulations.

7. Miscellaneous

    (a) Nothing contained herein shall be construed as a waiver or
release by Permittee, any Customer or the United States of any claim
by an employee of the Permittee, any Customer or the United States,
respectively, including a member of the Armed Forces of the United
States, for Bodily Injury or Property Damage, resulting from
Permitted Activities.
    (b) Notwithstanding any provision of this Agreement to the
contrary, any waiver, release, assumption of responsibility or
agreement to hold harmless and indemnify herein shall not apply to
claims for Bodily Injury or Property Damage resulting from willful
misconduct of any of the Parties, the Contractors and Subcontractors
of any of the Parties, and in the case of Permittee and each
Customer and the Contractors and Subcontractors of each of them, the
directors, officers, agents and employees of any of the foregoing,
and in the case of the United States, its agents.
    (c) References herein to Customer shall apply to, and be deemed
to include, each such customer severally and not jointly.
    (d) This Agreement shall be governed by and construed in
accordance with United States Federal law.
    In witness whereof, the Parties to this Agreement have caused
the Agreement to be duly executed by their respective duly
authorized representatives as of the date written above.

Permittee
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

Customer 1
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------
[Signature lines for each additional customer]

Federal Aviation Administration of the Department of Transportation
on Behalf of the United States Government
By:--------------------------------------------------------------------
Its:-------------------------------------------------------------------

    Issued in Washington, DC, on February 9, 2011.
Pamela Hamilton-Powell,
Director, Office of Rulemaking.
[FR Doc. 2011-3313 Filed 2-14-11; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 83, Number 158 (Wednesday, August 15, 2018)]
[Notices]
[Pages 40524-40525]
[FR Doc No: 2018-17525]

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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

[Docket No. FDA-2018-D-0943]

Elemental Impurities in Animal Drug Products--Questions and
Answers; Draft Guidance for Industry; Availability; Reopening of the
Comment Period

AGENCY: Food and Drug Administration, HHS.

ACTION: Notice of availability; reopening of the comment period.

-----------------------------------------------------------------------

SUMMARY: The Food and Drug Administration (FDA or Agency) is reopening
the comment period for the notice of availability that published in the
Federal Register on March 27, 2018. In that document, FDA requested
comments on the draft guidance for industry (GFI) #255 entitled
``Elemental Impurities in Animal Drug Products--Questions and
Answers.'' The Agency is taking this action in response to requests for
an extension to allow interested parties additional time to develop and
submit comments.

DATES: FDA is reopening the comment period on the notice of
availability published March 27, 2018 (83 FR 13134). Submit either
electronic or written comments on the draft guidance by October 15,
2018 to ensure that the Agency considers your comment on this draft
guidance before it begins work on the final version of the guidance.

ADDRESSES: You may submit comments on any guidance at any time as
follows:

Electronic Submissions

    Submit electronic comments in the following way:
     Federal eRulemaking Portal: https://www.regulations.gov.
Follow the instructions for submitting comments. Comments submitted
electronically, including attachments, to https://www.regulations.gov
will be posted to the docket unchanged. Because your comment will be
made public, you are solely responsible for ensuring that your comment
does not include any confidential information that you or a third party
may not wish to be posted, such as medical information, your or anyone
else's Social Security number, or confidential business information,
such as a manufacturing process. Please note that if you include your
name, contact information, or other information that identifies you in
the body of your comments, that information will be posted on https://www.regulations.gov.
     If you want to submit a comment with confidential
information that you do not wish to be made available to the public,
submit the comment as a written/paper submission and in the manner
detailed (see ``Written/Paper Submissions'' and ``Instructions'').

Written/Paper Submissions

    Submit written/paper submissions as follows:
     Mail/Hand delivery/Courier (for written/paper
submissions): Dockets Management Staff (HFA-305), Food and Drug
Administration, 5630 Fishers Lane, Rm. 1061, Rockville, MD 20852.
     For written/paper comments submitted to the Dockets
Management Staff, FDA will post your comment, as well as any
attachments, except for information submitted, marked and identified,
as confidential, if submitted as detailed in ``Instructions.''
    Instructions: All submissions received must include the Docket No.
FDA-2018-D-0943 for ``Elemental Impurities in Animal Drug Products--
Questions and Answers.'' Received comments will be placed in the docket
and, except for those submitted as ``Confidential Submissions,''
publicly viewable at https://www.regulations.gov or at the Dockets
Management Staff between 9 a.m. and 4 p.m., Monday through Friday.
     Confidential Submissions--To submit a comment with
confidential information that you do not wish to be made publicly
available, submit your comments only as a written/paper submission. You
should submit two copies total. One copy will include the information
you claim to be confidential with a heading or cover note that states

``THIS DOCUMENT CONTAINS CONFIDENTIAL INFORMATION.'' The Agency will
review this copy, including the claimed confidential information, in
its consideration of comments. The second copy, which will have the
claimed confidential information redacted/blacked out, will be
available for public viewing and posted on https://www.regulations.gov.
Submit both copies to the Dockets Management Staff. If you do not wish
your name and contact information to be made publicly available, you
can provide this information on the cover sheet and not in the body of
your comments and you must identify this information as
``confidential.'' Any information marked as ``confidential'' will not
be disclosed except in accordance with 21 CFR 10.20 and other
applicable disclosure law. For more information about FDA's posting of
comments to public dockets, see 80 FR 56469, September 18, 2015, or
access the information at: https://www.gpo.gov/fdsys/pkg/FR-2015-09-18/pdf/2015-23389.pdf.
    Docket: For access to the docket to read background documents or
the electronic and written/paper comments received, go to https://www.regulations.gov and insert the docket number, found in brackets in
the heading of this document, into the ``Search'' box and follow the
prompts and/or go to the Dockets Management Staff, 5630 Fishers Lane,
Rm. 1061, Rockville, MD 20852.
    You may submit comments on any guidance at any time (see 21 CFR
10.115(g)(5)). Submit written requests for single copies of the draft
guidance to the Policy and Regulations Staff (HFV-6), Center for
Veterinary Medicine, Food and Drug Administration, 7500 Standish Pl.,
Rockville, MD 20855. Send one self-addressed adhesive label to assist
that office in processing your requests. See the SUPPLEMENTARY
INFORMATION section for electronic access to the draft guidance
document.

FOR FURTHER INFORMATION CONTACT: Michael Brent, Center for Veterinary
Medicine (HFV-140), Food and Drug Administration, 7500 Standish Pl.,
Rockville, MD 20855,<PHONE_NUMBER>, [email protected].

SUPPLEMENTARY INFORMATION:

I. Background

    In the Federal Register of March 27, 2018, FDA published a notice
of availability with a 60-day comment period to request comments on
draft GFI #255 entitled ``Elemental Impurities in Animal Drug
Products--Questions and Answers.''
    This level 1 draft guidance is being issued consistent with FDA's
good guidance practices regulation (21 CFR 10.115). The draft guidance,
when finalized, will represent the current thinking of FDA on
``Elemental Impurities in Animal Drug Products--Questions and
Answers'', providing recommendations to sponsors regarding the control
of elemental impurities in animal drug products, including all dosage
forms and routes of administration. It does not establish any rights
for any person and is not binding on FDA or the public. You can use an
alternative approach if it satisfies the requirements of the applicable
statutes and regulations. This guidance is not subject to Executive
Order 12866.
    The Agency received two requests for an extension of the comment
period for the draft guidance. The requestors indicated they needed
more time to complete development of comments to submit in response to
the draft guidance.
    FDA has considered the requests and is reopening the comment period
for the draft guidance for 60 days, until October 15, 2018. The Agency
believes that a 60-day reopening of the comment period allows adequate
time for interested persons to submit comments to ensure that the
Agency can consider the comments on this draft guidance before it
begins work on the final version of the guidance.

II. Electronic Access

    Persons with access to the internet may obtain the draft guidance
at either https://www.fda.gov/AnimalVeterinary/GuidanceComplianceEnforcement/GuidanceforIndustry/default.htm or
https://www.regulations.gov.

    Dated: August 9, 2018.
Leslie Kux,
Associate Commissioner for Policy.
[FR Doc. 2018-17525 Filed 8-14-18; 8:45 am]
 BILLING CODE 4164-01-P