breaching an exclusive distributorship agreement it had with a firm in Bermuda.

Mr. Ramadhin Smith, owner of Bermuda Coatings, has filed a writ in Supreme Court against Liquid Plastics, which is based in Preston, England.

Mr. Smith said he had signed a contract to be Liquid Plastics' sole agent in Bermuda, where he sold the company's Decadex waterproof roof coating.

But he claims that Liquid Plastics broke their contract by allowing a rival firm to sell the same product.

"I'm taking this action because international companies must be aware that once you sign a document in Bermuda then you are bound by it,'' said Mr.

Smith.

"If we allow this sort of thing to continue then Bermuda will become a laughing stock in the world of international business.'' Following the row, Bermuda Coatings no longer represents Liquid Plastics on the Island.

The court case is expected to be heard later this year.