international business disputes was unanimously passed by the Senate yesterday.

Quick action by Government had led to Bermuda beating out the competition to become such a centre, said Government Senate leader the Hon. Mike Winfield .

But the Island's position (between North America and Europe), sophisticated communication services, stability, amenities and natural beauty had helped, he conceded.

Sen. Winfield noted US law firms specialising in arbitration had already expressed interest in coming to the Island.

And residents would soon be able to reap the benefits from the boost to tourism the venture would provide.

Sen. Winfield said company executives, their lawyers and secretarial staff involved in the arbitration process would use local secretarial and business services, hotels, guest cottages, restaurants, transportation, shops -- even local lawyers.

The legal fraternity would not be the only party to benefit, he stressed. Sen.

Winfield said Government "set the ball rolling'' back in October, 1991, immediately after the idea received support of the London Centre of International Arbitration.

The LCIA felt Bermuda was "a natural centre for arbitration and conciliation between international corporations'', he said.

Work was begun immediately on drafting the Bermuda International Conciliation and Arbitration Act 1993.

He commended the Bermuda Bar Association's cooperation in agreeing that local restrictions placed on work permits, especially for foreign lawyers, be removed to facilitate the Island becoming such a centre.

He said the council recognised that corporations coming here to settle disputes would want to bring their own lawyers.

"Other countries were also competing (to become a world arbitration centre), like Singapore and Hong Kong,'' he said. "If we had not adapted and evolved so quickly, Bermuda would have missed the opportunity.'' He added: "It will bring Bermuda further into the arena of being recognised as a significant and reputable centre for offshore business and add an additional leg to our already diversified international business portfolio.

'' Senate Opposition leader Sen. Alex Scott supported the legislation, saying the PLP "viewed international business as an important option''.

But he felt more should have been done to prepare Bermudians and local amenities for the trade.

Government was preparing legislation without preparing Bermudians for the product, he charged.

Sen. Scott, noting there was only one Bermudian training to be a court stenographer, said efforts should be made to train the labour force to partake in the venture.

He suggested stenography, court clerking and international business courses at Bermuda College and more legal scholarships.

There should also be international business courses in high schools to encourage youngsters, especially males, to seek careers in the field, he said.

"We should be looking into drawing our people into participating in the opportunity and not just drafting legislation,'' he said.

Government had not given enough of a briefing on what the industry would require. It may well turn into a sizable industry, he noted.

If the PLP was in Government, it would be looking to see how to invite and encourage Bermudians into taking advantage of and sharing in the "exciting'' business opportunity.

"When you see the lunch-hour staff empty out of local (international) companies, they are primarily women. Where are the males, white and black?'' Sen. Scott said the Opposition had contributed to the stability that the international business community had found so attractive.

An "impressive list'' of PLP members had fought for the betterment of race relations and the social system.

If Bermudians lost hope in the system and felt they weren't important, democracy and stability would be threatened, he said.

By knocking the PLP, Government was hurting the country's collective chances at becoming a world arbitration centre, he said.

He added it was "balderdash'' that Bermudians' were becoming less friendly.

They were gracious hosts and that was part of the attraction to international companies to set up office here.

"Bermudians smile when anyone else has a sour face,'' he said. "We have succeeded in tourism because of how Bermudians manage themselves with clientele.'' Sen. Joe Johnson (Ind.) pointed out the legislation had been considered prior to 1991. But it was the support of the international arbitration community, especially the LCIA, that brought about its crystallisation.

The LCIA's support gave Bermuda a "head start'', he said.

The legislation would expand the services the Island provides as a financial centre, he said. And the tourism industry would benefit greatly through the trickle down effect.

He added locally-based insurance companies were already calling for Bermuda to be the place of arbitration in policies they issued.

Sen. Wendell Hollis (UBP) said arbitration "was the way of the future'' for dispute settlement, which had traditionally been in the courts.

He noted Canada, Sweden, Singapore and Hong Kong were now competitors in the field. But Bermuda had the advantage because of what it had to offer -- golf, beaches, hotels.

However, in order for it to succeed as an arbitration centre, "the doors needed to be wide open'' to participants, meaning they should be able to bring their own lawyers and "trusted'' secretarial staff.

"If they can't have them they won't come and all the benefits of the bill will be lost'', he said. And that was where the Opposition had "a fundamental misunderstanding of what we are trying to do''.

He added that Sen. Trevor Woolridge (PLP) as a taxi driver would benefit far more from the legislation than he as a lawyer would.

Sen. Woolridge had concerns all the "big players'' in the arbitration process would be left with a sour taste of Bermuda after being kept "standing in line at the Airport for more than an hour''.

He too felt more should be done to educate youngsters in the field of international business.

Sen. Maxwell Burgess (UBP) said he was "sure that Mr. and Mrs. public would benefit most'' from the legislation.

Sen. Norma Astwood (Ind.)said it would prove "particularly useful to Bermuda's economy''.

Sen. Jerome Dill (UBP) said that with the help of arbitration, Bermuda could even surpass the "glory days'' of the 1980s in visitor numbers.

Sen. Ira Philip (PLP) said the PLP had no reservation about supporting the bill.

He added: "In the national long-term interests of Bermuda we should be thinking in terms of having direct involvement, even though the itinerants that will be involved in the initial setting up of this dimension will have to come from overseas.''