Lenders size debt and buyers value revenue on the termination compensation, not the headline contract value.
Across the 3 regimes
ESA and EU
ESA may terminate without fault, taking over work in progress at a fair price and indemnifying losses, including the part of lost profit attributable to termination.
United States
FAR termination for convenience: costs and a reasonable profit on work done, capped at the contract price. Funded Space Act Agreements can be ended with less protection.
UK and France
UK MOD: break on notice with an indemnity for unavoidable loss, capped at the contract price; implied termination rights under the Procurement Act. France: State may terminate in the public interest, with compensation.
The rest of this page sets out the 3 quoted provisions behind these cells, what is usually negotiated, and what lenders and buyers ask. It is free with a work email, along with the full tools, guides and register downloads.
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Related
General information on public law and standard terms as at 28 Oct 2026, not legal advice on any contract or transaction. Quoted wording is checked against the official text linked to it.