The man who owns the lease for the World Trade Centre has filed a law suit against Bermuda insurance giants ACE Ltd and XL Capital in a bid to make them resolve any disputes over the September 11 attacks in New York.

On Monday, Larry Silverstein, the leaseholder of the buildings, filed a suit against the insurers in respect to not only towers one and two - the first to be hit by the terrorists - but also four and five, to make sure his case is heard in the United States and not in the UK, which would fall under English law.

ACE Ltd., said that its insurance agreement for the World Trade Center lists London as the place for any arbitration of any suit.

But Congress has recently moved to get all September 11-related disputes channelled through the US District Court for the Southern District of New York.

Both ACE and XL are expected to argue that the US has no jurisdiction over previously-drawn up policy agreements made under the laws of another country.

Mr. Silverstein has argued in the past that the attacks on the two towers were two separate incidents, which means he can claim twice on his insurance for the damage - and get $7 billion instead of $3.5 billion from Swiss Re, ACE, XL and about 20 other insurers.

Mr. Silverstein is also expected to file a similar law suit against Swiss Re, in what is sure to become a long and protracted battle over billions of dollars in insurance claims.

In a 19-page filing lodged on Monday, Mr. Silverstein, under the World Trade Center and Silverstein Incorporation, asked a federal court in New York to rule against ACE Ltd and XL Insurance.

In the suit, Silverstein said that both ACE and XL contacted his lawyers last Wednesday asking them to prepare for arbitration proceedings in the UK.

He asked the court to stop those arbitrations, and rule that the disputes must be settled by the US District Court for the Southern District of New York.

A spokeswoman for ACE told The Royal Gazette yesterday: "We do not comment on matters of litigation. However, our policy document does state that any dispute related to the policy will be resolved in London by arbitration."

At press time, XL Capital and the lawyer for Mr. Silverstein, Eric Roth of Watchtower, Lipton, Rosen and Cats in New York, New York, had not returned calls.

Swiss Re last month made a pre-emptive strike in the New York court seeking to limit its pay-out to him.

If Swiss Re prevails, and the destruction of the complex is ruled as one occurrence, Silverstein will only pick up $3.55 billion, the limit of the insurance policy.

ACE faces claims of $298 million per occurrence on the policy, while XL faces $68 million per occurrence, according to Silverstein's suit on Monday.