Which the article indicates, at least as it relates to the US and her companies, is no longer the case:

> In July 2020, the KBA was dropped, and now the US government allows American companies to provide far higher-quality images of the region (so that objects the size of a person can be readily picked out).

KBA wasn't dropped, it still applies. The law is still on the books.

KBA gives the regulator (NOAA) the authority to set a resolution limit for images of Israel. They are supposed to set it to be the best resolution commercially available from non-US providers. In 1998, NOAA set it at 2 metres. In July 2020, NOAA dropped it to 0.4 metres. NOAA had been dragging their feet about that – in 2018, evidence was presented to them of commercial availability of sub-2m resolution images of Israel from non-US providers, but they didn't accept it. Their argument apparently was that even if sub-2m resolution was commercially available, it wasn't "commercially available enough". One factor that changed their mind this time is widespread resale of foreign imagery by US resellers (the KBA only applies to sale of US-acquired imagery, US companies are legally free to resell foreign-acquired imagery.)

KBA still limits US providers to a 0.4 metre resolution of Israel. When foreign commercial providers start offering better than 0.4 metre resolution of Israel, NOAA may drop the limit again. But they may drag their feet that time too.

I appreciate the clarity and correction offered!

That's one such agreement between two governments; there are numerous other laws and agreements that would impact anyone attempting to provide real-time imagery of substantial portions of Earth.

I thought the KBA was an amendment to US statutory law, not an 'agreement' between nations? What are the other laws and agreements to which you're alluding to, but weren't referenced in the article?

How far into the atmosphere does a nation's air space stretch? Would I be breaking a country's law by picturing said country from orbit?

That's an unsettled question. I think most would agree that a nation's airspace extends at most up to the Kármán line, which is 100km above sea level (except in the US, where it's 80km or 50 mi). But there is no international treaty or anything that settles this.

In practice, as a satellite operator you are bound to the laws of the country where your company resides, the country where you launch from, the countries where your ground stations are, and any country that has political sway in any of the previous ones.