The Tribune

By NATARIO McKENZIE

Tribune Business Reporter

nmckenzie@tribunemedia.net

THE government intends to keep separate regimes for domestic and international arbitration to ensure legal “certainty and clarity”, a Cabinet Minister has confirmed.

“We believe that the two regimes should be kept separate to bring certainty and clarity to the law, particularly for those who would wish to use The Bahamas for arbitration,” said Brent Symonette, minister of financial services, trade and industry and immigration.

“Two clearly articulated regimes certainly would further contribute to the ease of doing business in The Bahamas, and make The Bahamas an attractive arbitration centre for the resolution of business and investment disputes.”

The government’s plans run contrary to the advice of some in the private sector, who argue that having two separate arbitration regimes could lead to confusion and a dissipation of resources.

Dr Peter Maynard, the former Bahamas Bar Association chief, previously told Tribune Business: “The good news is that the International Commercial Arbitration Act has provision for a centre. I’m suggesting that the centre be at a neutral place, like the University of The Bahamas, supported by government and NGOs.

“We need to marshal the resources to do that. There is still this question of sending resources in two different directions. My view is let’s get it right the first time, so you should amalgamate. Others take the view that something is better than nothing. I’ve never looked at it that way. If we can do better let’s do better.”

Mr Symonette, who addressed the recent Arbitration Summit that Dr Maynard helped to organise, said the “government remains committed to the establishment of The Bahamas as a modern and sophisticated international arbitration centre”.

He added that establishing The Bahamas as an arbitration centre would complement the Bahamian legal profession and also the financial and maritime sectors, foreign direct investment and other international business initiatives. “The potential for long-term employment opportunities for Bahamian professionals working in such areas is significant,” Mr Symonette added.

Mr Symonette said The Bahamas’ strategic geographical location, accessibility, stable government, trained judiciary and qualified professional workforce gave it an an advantage over many competitors vying to be an arbitration hub.

“The Bahamas must find ways to open its doors to a global economy that allows professional exchanges that foster growth and the cross-border cooperation and partnerships,” he said.

According to Mr Symonette, The Bahamas nation has made progress towards turning its ambitions into reality with the introduction of the Arbitration Amendment Bill 2018 and the International Commercial Arbitration Bill 2018. He added that the passage of both bills will bring further clarity to the law, particularly for those interested in using The Bahamas as a venue for arbitration.

“The International Commercial Arbitration Bill 2018 incorporates key provisions of the Model Law of the United Nations Commission on International Trade Law (UNICTRAL),” he added. “The Model Law covers all stages of the arbitral process - from the arbitration agreement to the recognition and enforcement of the arbitral award - and reflects a worldwide consensus on key aspects of international arbitration practice accepted by states the world over no matter their legal or economic systems.

“The corresponding provisions of the UNCITRAL Model Law have been included in the schedule of the International Commercial Arbitration Bill 2018 to indicate which provisions of the bill align with corresponding provisions of the UNCITRAL Model Law, making it easier for persons using the legislation.

“As you are well aware, the Model Law has become the global benchmark for good arbitration legislation, and by incorporating its provisions within our laws we are demonstrating our desire to be at the forefront in this area.”