Space and Satellite IP Checklist: Registry and Jurisdiction, Payload and Instrument Rights, Launch and Hosted Terms, Data Licensing, and Export Screening

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This checklist audits a space or satellite business in the order the questions actually arise, beginning with export classification and registration because those determinations govern who may work on the technology and whose law applies to the asset in orbit. It then works through a portfolio review that tests whether claims are enforceable anywhere a court can reach, the launch and hosted payload agreements whose cross-waivers can swallow an infringement claim, the remote sensing licence conditions that shape a data product before any private right arises, and the data licence terms that decide whether analytics customers become a downstream market or a competitor. It covers ground segment software and open source, supplier qualification heritage and re-sourcing cost, the publication and spectrum coordination calendars, and the investor diligence file. Gate items mark where work should stop.

IP and Technology > Patent Counseling Transactions | Checklist | Published 26 October 2023 - Updated 7 February 2026 | Casey Scott McKay - marksy.us

Summary. This checklist audits a space or satellite business in the order the questions arise, beginning with export classification and registration because they govern who may work on the technology and whose law applies in orbit. It works through a portfolio review testing whether claims are enforceable anywhere a court can reach, the launch and hosted payload agreements whose cross-waivers can swallow an infringement claim, the remote sensing licence conditions that shape a data product before any private right arises, and the data licence terms that decide whether analytics customers become a downstream market or a competitor. Gate items mark where work should stop.

Keywords: space IP checklist · export classification · registry jurisdiction · section 105 · terrestrial claims · divided infringement · launch cross-waiver · hosted payload rights · remote sensing licence conditions · derived products · ground segment software · qualification heritage · publication review · spectrum coordination · investor diligence


How to use this checklist

| Phase | What it establishes | Who runs it | Gate | |---|---|---|---| | 1. Classification | Who may work on the technology | Trade compliance and counsel | Written determination before any transfer | | 2. Registration | Whose law applies to the asset | Regulatory and counsel | Position recorded per asset | | 3. Portfolio | Whether claims reach anything | Counsel with the bench | No space-only portfolio | | 4. Launch and hosting | What the waiver actually waived | Contracts and counsel | IP carve-out confirmed | | 5. Remote sensing licence | What may be imaged and sold | Regulatory and product | Conditions read before roadmap fixed | | 6. Data licensing | Whether customers become competitors | Commercial and counsel | Derived products term drafted | | 7. Ground software | Whether the stack is owned | Engineering and counsel | Bill of materials per release | | 8. Suppliers | Whether the constellation can be replenished | Procurement and counsel | Re-sourcing cost recorded | | 9. Publication | Whether options survive the science | Counsel with research leads | Filing before submission | | 10. Diligence | Whether the business can be financed | Counsel | Eight answers assembled |

The matter. An imaging startup has flown three demonstration satellites, manufactures buses domestically, sources its optical payload from a foreign supplier, launches on rideshare, downlinks through a third-party ground network, and sells change-detection analytics. The founders came from a university programme. Nobody has produced a written export classification. The data licence template was adapted from a software agreement. A Series B investor with foreign limited partners has asked for technical diligence next month.


Phase 1. Classify before anything moves


Phase 2. Fix registration and jurisdiction per asset


Phase 3. Audit the portfolio for reach


Phase 4. Read the launch, rideshare, and hosting agreements


Reading a cross-waiver properly

Hosted payload terms worth naming individually


Phase 5. Read the remote sensing licence before fixing the roadmap


Spectrum and coordination, briefly


Phase 6. Rebuild the data licence around derived products


Drafting the derived products term

Three drafting positions cover most deals, and naming them makes the negotiation shorter.

Position one: customer owns derived products outright. Appropriate where the customer is an end user with no distribution ambition — a government agency, an insurer, an agricultural cooperative analysing its own fields. The licensor keeps the imagery business and gives away nothing it was going to sell.

Position two: customer owns derived products, licensor takes a licence back. Appropriate where the customer's analytics are genuinely its own contribution but the licensor wants the option to serve similar customers with similar layers. The licence back should be non-exclusive, royalty-free, and limited to internal use and product improvement unless a broader grant is paid for.

Position three: customer may use derived products internally but may not distribute them. Appropriate where the customer sits in the licensor's addressable market. This is the position most likely to be resisted, and it is the position most likely to be worth insisting on, because a customer who can resell a derived layer is a reseller of the licensor's product at a margin the licensor does not capture.

Whichever position is taken, the definition of "derived product" has to be operable. A definition that turns on whether the output "incorporates" the imagery invites argument, because a change-detection mask incorporates nothing but was computed from everything. Definitions that work in practice describe the output by reference to what it enables: a product that permits the recipient to answer a question the imagery answers is derived, whether or not any pixel survives.


Phase 7. Own the ground segment stack


Provenance questions the bill of materials must answer

Government-funded components


Phase 8. Qualify suppliers and price the re-sourcing risk


Phase 9. Run the publication and disclosure calendar


Phase 10. Assemble the diligence file

A note on sequencing

The order of these phases is not arbitrary, and running them out of order is the most common way a competent team wastes a quarter. Classification comes first because it constrains who may participate in every later step: an unclassified programme cannot safely staff an engineering team, cannot conduct investor diligence, and cannot instruct foreign counsel. Registration comes second because the patent analysis in Phase 3 is unanswerable without it — a portfolio review that does not know the registry position is reviewing claims whose territorial status is unknown.

The launch and hosting review comes before the licence review because the contracts are negotiated earlier in a programme than the operating licence is granted, and a carve-out that was not obtained cannot be obtained retroactively. The licence review comes before the data licensing work because the licence conditions constrain what may be sold at all, and drafting a commercial agreement around a product that cannot lawfully ship is wasted drafting.

Ground software and suppliers come next because they are the phases most likely to surface a problem that requires engineering time to fix, and engineering time has to be scheduled. The publication calendar is placed late not because it matters less but because it is continuous: once established, it runs indefinitely, and it is better established after the team understands which disclosures carry which consequences.

The diligence file is last because it is a compilation. Every answer in it is produced by an earlier phase. A team that tries to build the file first will produce a document full of assertions it cannot support, which is worse than no document at all, because an investor who finds one unsupported assertion will discount the rest.

What "done" looks like

A team that has completed this checklist can produce, on a day's notice, a written export classification with its basis, a registry position for each flight asset, a claim map distinguishing space-side from ground-side coverage, the executed launch and hosting agreements with their IP carve-outs highlighted, the operating licence with its conditions mapped to product features, the current data licence template with a reasoned derived-products term, a bill of materials for the current ground software release, a re-sourcing cost for every single-sourced flight-critical component, a publication review log, and a chain-of-title record for every application. That is ten artefacts. None of them is exotic, and a business that has all ten is unusual.


Outcome. A business that has run this checklist can tell an investor which of its assets are registered where, which of its claims reach a defendant a court can serve, what its launch waiver actually gave away, and whether its analytics customers are permitted to become its competitors. None of those answers is available from the technical file alone, and all four are asked in the first diligence session.


Key Authorities at a Glance

| Authority | What it settles | Where it bites in this checklist | |---|---|---| | 35 U.S.C. § 105 | Inventions made, used, or sold on a spacecraft under US jurisdiction and control are treated as within the United States, subject to agreement and registry exceptions | Phase 2 registry position; Phase 3 claim classification | | Outer Space Treaty art. VIII and the Registration Convention | The state of registry retains jurisdiction and control over the object | Phase 2; why the registry filing governs the analysis | | 51 U.S.C. § 60121 | Private remote sensing operations require a licence and carry conditions | Phase 5 licence conditions mapped to features | | 51 U.S.C. § 50901 | Commercial launch licensing framework | Phase 5 launch posture | | 51 U.S.C. § 50914 | Statutory cross-waiver framework for launch participants | Phase 4; the waiver is for launch liability, not for infringement | | Limelight Networks, Inc. v. Akamai Technologies, Inc. | No induced infringement without a single direct infringer | Phase 3 split-claim flagging | | Alice Corp. v. CLS Bank International | Two-step eligibility framework | Phase 3 eligibility discipline on analytics claims | | Amgen Inc. v. Sanofi | Functional breadth must be enabled across the full scope | Phase 3 single-mission support | | Feist Publications, Inc. v. Rural Telephone Service Co. | Facts are not copyrightable; only original selection and arrangement | Phase 6 raw versus derived product | | Kewanee Oil Co. v. Bicron Corp. | Trade secret protection coexists with the patent system | Phase 3 calibration and correction as secrets | | 18 U.S.C. § 1839 | Reasonable measures are an element of trade secret status | Phase 1 access architecture; Phase 10 evidence file | | 35 U.S.C. § 184 and § 185 | Foreign filing licence requirement and the invalidity consequence | Phase 1 and Phase 9 | | 35 U.S.C. § 181 | Secrecy orders on applications with national security implications | Phase 1 screening; Phase 10 disclosure | | 35 U.S.C. § 202 | Bayh-Dole election, government licence, and march-in | Phase 7 funded components; Phase 10 encumbrances | | 48 C.F.R. § 252.227-7013 | Technical data rights categories and marking | Phase 7 legends at delivery | | 35 U.S.C. § 112 | Written description and enablement | Phase 3 breadth testing | | 35 U.S.C. § 101 | Patent eligibility | Phase 3 ground-claim screening | | 35 U.S.C. § 102 | Novelty and the grace period | Phase 3 and Phase 9 | | 17 U.S.C. § 105 | Federal government works are outside copyright | Phase 7 agency-derived code |


The five things people get wrong

One: treating the registry as a regulatory detail. The registration filing is not paperwork. It determines which state has jurisdiction and control over the object, which in turn determines whether 35 U.S.C. § 105 treats the asset as domestic. A team that cannot say which state registered its satellite cannot answer the first question an enforcement analysis asks. Record it per asset, in the technical file, and re-check it after any change of control.

Two: assuming the launch cross-waiver stops at launch liability. It very often does not, as drafted. The statutory framework contemplates a waiver of liability claims among participants; the commercial paper frequently uses language broad enough to reach an infringement claim between the payload owner and a co-manifested competitor. The carve-out has to be express, and it has to flow through the aggregator to every participant whose paper binds you.

Three: building a portfolio that only reads on things in orbit. A space-side claim is a claim against a defendant a court cannot easily reach, practised on an object whose registry may not be what you assume, proved by evidence you would have to obtain from a spacecraft. The commercially enforceable claims in almost every space business are the ground claims — tasking, downlink processing, correction, analytics, delivery. Build them deliberately, and screen them for eligibility, because that is where they are vulnerable.

Four: licensing data with a software template. A software licence asks whether the customer may copy, modify, and redistribute code. A data licence has to ask what the customer may build from the observations, whether that thing competes with the licensor, and who owns it. Feist guarantees that the underlying facts are extractable. The derived products term is therefore the whole negotiation, and it is a commercial decision that should not be made by whoever last edited the template.

Five: discovering the remote sensing licence conditions after the roadmap is fixed. The conditions attached to an operating licence can restrict resolution, imaging targets, retention, and distribution, and they bind before any private right arises. A roadmap built without reading them will contain features that cannot lawfully ship. Read the licence first, map each condition to a feature, and let the product team see the constraints while they are still cheap to design around.


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This checklist is general information about intellectual property practice, not legal advice, and it does not create a lawyer-client relationship. Marksy is not a law firm. Space and satellite matters sit at the intersection of patent law, export control, communications regulation, and international obligations, and the correct answer depends on facts this checklist cannot know — including the registry position of each asset, the precise wording of the launch and hosting agreements, and the conditions attached to any operating licence. Consult qualified counsel in the relevant jurisdiction before acting.

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