A writ for compensation has been issued at the Supreme Court against the Marriott Castle Harbour Resort.

The writ, dated last Friday, is a class action taken by Mark Jones on behalf of himself and others against Marriott's International Services Ltd for "personal injury'' sustained at the hotel between February 14 and 20 last year.

It is not known whether or not Mr. Jones and the "others'' are locals. Lawyer Dennis Dwyer, who is representing a group of about 20 locals, could not be reached for comment last night.

But more than 400 people became violently ill in February 1998 after a mystery sick-bug outbreak on Valentine's Day.

The outbreak happened after the hotel's water system was contaminated by sewage from a leaking pipe.

Many of the visitors and residents suffered for 48 hours, with symptoms of vomiting and diarrhoea.

Management of the resort, which is closing down next Tuesday, are already facing a $75 million compensation claim from visitors many of whom were American.

The hotel suffered a crushing blow in July last year when a judge in Massachusetts ruled that a compensation suit could be filed in the United States rather than Bermuda.

As the US is considerably more litigious than Bermuda, the ruling opened up the hotel and its owners to the prospect of a massive compensation pay-out.

The judge ruled that a lawsuit against the hotel chain filed by 23 guests could be heard in Boston.

Boston attorney Arthur Levine is representing the 23 guests who are suing the hotel and Marriott International Incorporated, the US parent company, as well as Bermuda Properties Ltd, the company that owns the site. Law firms in Illinois and New York are representing other US guests, while Mr. Dwyer, the partner of Bermudian law firm Hector Dwyer and Associates, was reported last year to be acting for about 20 clients.

Hector Dwyer and Associates was reported in February this year to be assisting Mr. Levine in taking depositions in Bermuda.

David Webb, the general manager of the hotel, said last night he had no knowledge of the writ although he was aware of the events last year which led up to the legal action.

He said Marriott's International Services were merely the managers of the resort and that any claim would be forwarded to the hotel's insurers.

Hotel faces suit Three hundred staff will lose their jobs when the hotel closes next Tuesday.

Bermuda Properties are hoping to develop the resort into a five-star location which may open in 2001.

US-based Regent International Hotels is negotiating for the management contract and worldwide investment bankers Donaldson, Lufkin and Jenrette are involved in financing the project.