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Liability from Acts of Terrorism

Private security service companies and staff are very often in the frontline of possible terrorist attacks and very likely to suffer directly from its consequences.  Private security companies supply services to an increasing number of private and public organisations, protecting people and assets, including critical infrastructure, such as airports.

The exposure of security services providers to liability in case of a terrorist attack is potentially unlimited, although they play a limited in the whole security chain. 

In the event of a terrorist attack, private security companies are not able to face possible third parties’ claim, which could relate to amounts exceeding available insurance coverage.

ASSA-i calls for a fair and acceptable distribution of responsibilities and risks between the authorities and other parties responsible for security, on the one hand, and the private security company to which security services have been outsourced, on the other hand.

In order to find a long-term solution for the critical liability issues that arise in connection with terrorist attacks, only a clear EU initiative, possibly leading to a common legal framework, or joint strategy by the Member States will be able to efficiently address the issue for all different sectors concerned.

The overall objective must be to work towards such an EU-driven framework aimed at:

• stating the shared responsibilities when private security is concerned;
• determining the specific responsibility of each stakeholder involved in security;
• limiting the responsibility / liability of private security services providers;
• establishing a mechanism for handling third party claims;
• thus eliminating the risk for private security services providers of unlimited third party liability in the case of acts of terrorism.