Space Law: Adapt Fast or Watch Your Clients Launch Without You

Space Law: Adapt Fast or Watch Your Clients Launch Without You

The commercialization of space is no longer a distant vision — it is a thriving and accelerating ecosystem driven by startups, private enterprise, and agile public-private collaborations. This new era presents a unique and dynamic opportunity for lawyers, but only if they evolve their role beyond traditional models.

Space startups operate at the nexus of cutting-edge technology, complex regulatory environments, and ambitious missions that challenge conventional legal thinking. Lawyers who aspire to serve this sector effectively must not only understand space law but must also embody the values and operational mindset that fuel the space industry itself.

From Legal Service Providers to Strategic Business Partners

Space entrepreneurs are not looking for lawyers who simply recite statutes or complete paperwork. They are seeking trusted advisors who can help them navigate uncertainty, anticipate legal roadblocks, and contribute to their strategic goals.      

To meet these expectations, lawyers must move beyond the role of legal technician and start thinking like business-minded problem solvers. Here are a few mindset shifts that can make all the difference:

  • Agility Over Conservatism The space industry evolves rapidly. Regulatory frameworks shift, technologies emerge overnight, and international cooperation adds layers of complexity. Lawyers need to shed rigid, risk-averse mindsets and adopt an agile approach that helps clients seize opportunities while managing risk pragmatically.

  • Creative Problem-Solving as a Core Competency The best legal counsel in this sector brings creative solutions to novel problems — whether it’s structuring unconventional joint ventures, crafting adaptable licensing strategies, or interpreting gray areas of export controls to support emerging technologies.

  • Efficiency as a Competitive Advantage Space startups operate on tight timelines and lean budgets. Lawyers must streamline their service delivery, embrace technology, and design transparent, value-driven pricing models that align with startup realities.

Embrace Technology and AI to Deliver Value Beyond the Billable Hour

If lawyers expect to serve innovative, fast-moving clients, they need to completely rethink the law firm model. It’s time to work like a startup and think like a startup.  Many space startups are built on the belief that technology and automation can unlock scale and efficiency. Law firms must adopt the same mindset:

  • Integrate AI for Research, Drafting, and Compliance Workflows Leverage AI tools to accelerate research, automate regulatory filings, and generate first drafts — freeing lawyers to focus on strategic counsel and complex problem-solving.

  • Use Client Portals and Collaboration Platforms Offer clients real-time access to dashboards, project status, and document repositories, eliminating back-and-forth and reducing friction.

  • Experiment with Alternative Billing Models Move beyond billable hours and explore outcome-based fees, flat fees for common services, or subscription models aligned with startup growth phases.

Fix Firm Culture: Break Silos, Stop Competing Internally, and Innovate Like Your Clients

Law firm culture often mirrors outdated hierarchies, internal turf wars, and risk-aversion that stifle collaboration and breed inefficiency. Space startups, by contrast, thrive on cross-disciplinary teamwork and bold experimentation. Law firms hoping to win their business need to:

  • Reward Collaboration, Not Internal Competition Dismantle "eat-what-you-kill" compensation structures that pit practice groups against each other. Foster shared incentives to deliver integrated, cross-practice solutions.

  • Promote Legal Innovation from Within Create internal innovation labs, pilot new service models, and empower teams to challenge legacy processes.

  • Reflect Client Values: Be Mission-Aligned, Not Transactional Space companies aren't purely transactional — they are mission-driven. Lawyers must reflect this by embedding themselves in the client's journey, advocating for responsible growth, and co-creating legal frameworks that open new paths to success, rather than simply reacting to problems.

Become Educators and Opportunity Creators, Not Just Risk Managers

Finally, great space lawyers do more than spot risks — they educate clients, build their legal literacy, and design proactive strategies that prevent legal issues before they occur. Even more importantly, they help clients see around corners, uncover regulatory gaps, and construct new legal pathways that enable innovation rather than stifle it.

Lawyers who embrace this role position themselves not only as advisors but as enablers of their clients’ missions, helping startups scale responsibly, sustainably, and with confidence.

A Challenge to the Legal Profession

Space startups are pushing technological, scientific, and economic boundaries. Lawyers can either lag behind or step up as enablers of progress, educators, collaborators, and innovators in their own right.

Will you position yourself as a conservative gatekeeper — or as a collaborative, entrepreneurial partner who helps space startups realize their missions and reshape the future?

David Heasley

Commercial lawyer | Business Lawyer, Defence Contracts, Intellectual Property | NDIS advocate.

3mo

Great article. And so accurate. Many lawyers / firms I'm involved with do this already (at least in part).

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Erik Mudrinich

Space & Cyber Attorney | Adjunct Professor of Law

3mo

Spot on Bailey, very insightful article.

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