SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Civil Justice Reform Act of 1993''.

SEC. 2. DIVERSITY OF CITIZENSHIP JURISDICTION; AWARD OF ATTORNEYS' FEES 
              TO PREVAILING PARTY.

    (a) Award of Fees.--Section 1332 of title 28, United States Code, 
is amended by inserting after subsection (e) the following new 
subsection:
    ``(f)(1) The prevailing party in an action under this section shall 
be entitled to attorneys' fees only to the extent that such party 
prevails on any position or claim advanced during the action. 
Attorneys' fees under this paragraph shall be paid by the nonprevailing 
party but shall not exceed the amount of the attorneys' fees of the 
nonprevailing party with regard to such position or claim. If the 
nonprevailing party receives services under a contingent fee agreement, 
the amount of attorneys' fees under this paragraph shall not exceed the 
reasonable value of those services.
    ``(2) In order to receive attorneys' fees under paragraph (1), 
counsel of record in any actions under this section shall maintain 
accurate, complete records of hours worked on the matter regardless of 
the fee arrangement with his or her client.
    ``(3) The court may, in its discretion, limit the fees recovered 
under paragraph (1) to the extent that the court finds special 
circumstances that make payment of such fees unjust.
    ``(4) This subsection shall not apply to any action removed from a 
State court under section 1441 of this title, or to any action in which 
the United States, any State, or any agency, officer, or employee of 
the United States or any State is a party.
    ``(5) As used in this subsection, the term `prevailing party' means 
a party to an action who obtains a favorable final judgment (other than 
by settlement), exclusive of interest, on all or a portion of the 
claims asserted in the action.''.
    (b) Study and Report.--(1) The Director of the Administrative 
Office of the United States Courts shall conduct a study regarding the 
effect of the requirements of subsection (f) of section 1332 of title 
28, United States Code, as added by subsection (a) of this section, on 
the caseload of actions brought under such section, which study shall 
include--
            (A) data on the number of actions, within each judicial 
        district, in which the nonprevailing party was required to pay 
        the attorneys' fees of the prevailing party; and
            (B) an assessment of the deterrent effect of the 
        requirements on frivolous or meritless actions.
    (2) No later than 4 years after the date of enactment of this Act, 
the Director of the Administrative Office of the United States Courts 
shall submit a report to the appropriate committees of Congress 
containing--
            (A) the results of the study described in paragraph (1); 
        and
            (B) recommendations regarding whether the requirements 
        should be continued or applied with respect to additional 
        actions.
    (c) Repeal.--No later than 5 years after the date of enactment of 
this Act, this section and the amendment made by this section shall be 
repealed.

SEC. 3. OFFER OF JUDGMENT.

    (a) In General.--Part V of title 28, United States Code, is amended 
by inserting after chapter 113 the following new chapter:

                   ``CHAPTER 114--PRETRIAL PROVISIONS

``Sec.
``1721. Offer of judgment.
``Sec. 1721. Offer of judgment
    ``(a)(1) In any civil action filed in a district court, any party 
may serve upon any adverse party a written offer to allow judgment to 
be entered for the money or property specified in the offer.
    ``(2) If within 14 days after service of the offer, the adverse 
party serves written notice that the offer is accepted, either party 
may file the offer and notice of acceptance and the clerk shall enter 
judgment.
    ``(3) An offer not accepted within such 14-day period shall be 
deemed withdrawn and evidence thereof is not admissible, except in a 
proceeding to determine reasonable attorney fees.
    ``(4) If the final judgment obtained by the offeree is not more 
favorable than the offer made under paragraph (1) which was not 
accepted by the offeree, the offeree shall pay the offeror's reasonable 
attorney fees incurred after the expiration of the time for accepting 
the offer, to the extent necessary to make the offeror whole.
    ``(5) In no case shall an award of attorney fees under this section 
exceed the amount of the judgment obtained. The court may reduce the 
award of costs and attorney fees to avoid the imposition of undue 
hardship on a party.
    ``(6) The fact that an offer is made under this section shall not 
preclude a subsequent offer.
    ``(7)(A) Subject to the provisions of subparagraph (B), when the 
liability of 1 party has been determined by verdict, order, or 
judgment, but the amount or extent of the liability remains to be 
determined by further proceedings, any party may make an offer of 
judgment, which shall have the same effect as an offer made before 
trial.
    ``(B) The court may shorten the period of time an offeree may have 
to accept an offer under subparagraph (A), but in no case shall such 
period be less than 7 days.
    ``(b) A party making an offer shall not be deprived of the benefits 
of an offer it makes by an adverse party's subsequent offer, unless the 
subsequent offer is more favorable than the judgment obtained.
    ``(c) If the judgment obtained includes nonmonetary relief, a 
determination that it is more favorable to the offeree than was the 
offer shall be made only when the terms of the offer included all such 
nonmonetary relief.
    ``(d) This section shall not apply to class or derivative actions 
under rules 23, 23.1 and 23.2 of the Federal Rules of Civil Procedure.
    ``(e)(1) Except as provided under paragraph (2), the provisions of 
this section shall not be construed to prohibit an award or reduce the 
amount of an award a party may receive under a statute which provides 
for the payment of attorney's fees by another party.
    ``(2) The amount a party may receive under this section may be set 
off against the amount of an award made under a statute described in 
paragraph (1).''.
    (b) Technical and Conforming Amendment.--The table of chapters for 
part IV of title 28, United States Code, is amended by inserting after 
the item relating to chapter 113 the following:

``114. Pretrial provisions..................................    1721''.

SEC. 4. PRIOR NOTICE AS A PREREQUISITE OF FILING A CIVIL ACTION IN THE 
              UNITED STATES DISTRICT COURT.

    (a) In General.--Chapter 23 of title 28, United States Code, is 
amended by adding at the end the following:
``Sec. 483. Prior notice of civil action
    ``(a)(1) No less than 30 days before filing a civil action in a 
court of the United States the claimant intending to file such action 
shall transmit written notice to any intended defendant of the specific 
claims involved, including the amount of actual damages and expenses 
incurred and expected to be incurred. The claimant shall transmit such 
notice to any intended defendant at an address reasonably expected to 
provide actual notice.
    ``(2) For purposes of this section, the term `transmit' means to 
mail by first class-mail, postage prepaid, or contract for delivery by 
any company which physically delivers correspondence as a commercial 
service to the public in its regular course of business.
    ``(3) The claimant shall at the time of filing a civil action, file 
in the court a certificate of service evidencing compliance with this 
subsection.
    ``(b) If the applicable statute of limitations for such action 
would expire during the period of notice required by subsection (a), 
the statute of limitations shall expire on the thirtieth day after the 
date on which written notice is transmitted to the intended defendant 
or defendants under subsection (a). The parties may by written 
agreement extend that 30-day period for an additional period of not to 
exceed 90 days.
    ``(c) The requirements of this section shall not apply--
            ``(1) in any action to seize or forfeit assets subject to 
        forfeiture or in any bankruptcy, insolvency, receivership, 
        conservatorship, or liquidation proceeding;
            ``(2) if the assets that are the subject of the action or 
        would satisfy a judgment are subject to flight, dissipation, or 
        destruction, or if the defendant is subject to flight;
            ``(3) if a written notice prior to filing an action is 
        otherwise required by law, or the claimant has made a prior 
        attempt in writing to settle the claim with the defendant;
            ``(4) in proceedings to enforce a civil investigative 
        demand or an administrative summons;
            ``(5) in any action to foreclose a lien; or
            ``(6) in any action pertaining to a temporary restraining 
        order, preliminary injunctive relief, or the fraudulent 
        conveyance of property, or in any other type of action 
        involving exigent circumstances that compel immediate resort to 
        the courts.
    ``(d) If the district court finds that the requirements of 
subsection (a) have not been met by the claimant, and such defect is 
asserted by the defendant within 60 days after service of the summons 
or complaint upon such defendant, the claim shall be dismissed without 
prejudice and the costs of such action, including attorneys' fees, 
shall be imposed upon the claimant. Whenever an action is dismissed 
under this subsection, the claimant may refile such claim within 60 
days after dismissal regardless of any statutory limitations period 
if--
            ``(1) during the 60 days after dismissal, notice is 
        transmitted under subsection (a); and
            ``(2) the original action was timely filed in accordance 
        with subsection (b).''.
    (b) Conforming Amendment.--The table of sections at the beginning 
of chapter 23 of title 28, United States Code, is amended by adding at 
the end the following:

``483. Prior notice of civil action.''.

SEC. 5. CIVIL RIGHTS OF INSTITUTIONALIZED PERSONS ACT.

    (a) Exhaustion of Administrative Remedies.--Section 7 of the Civil 
Rights of Institutionalized Persons Act (42 U.S.C. 1997e) is amended--
            (1) by amending subsection (a) to read as follows:
    ``(a) In any action brought pursuant to section 1979 of the Revised 
Statutes of the United States, by any adult convicted of a crime 
confined in any jail, prison, or other correctional facility, the court 
shall continue such case for a period not to exceed 180 days in order 
to require exhaustion of such plain, speedy, and effective 
administrative remedies as are available.''; and
            (2) in subsection (b)--
                    (A) by redesignating paragraphs (1) and (2) as 
                paragraphs (2) and (3), respectively; and
                    (B) by inserting immediately after ``(b)'' the 
                following:
    ``(1) Upon the request of a State or local corrections agency, the 
Attorney General of the United States shall provide the agency with 
technical advice and assistance in establishing plain, speedy, and 
effective administrative remedies for inmate grievances.''.
    (b) Proceedings in Forma Pauperis.--Section 1915(d) of title 28, 
United States Code, is amended to read as follows:
    ``(d) The court may request an attorney to represent any such 
person unable to employ counsel and may dismiss the case if the 
allegation of poverty is untrue, or if satisfied that the action fails 
to state a claim upon which relief can be granted or is frivolous or 
malicious.''.
    (c) Effective Date.--The amendments made by subsections (a) and (b) 
shall take effect on the date of the enactment of this Act.

SEC. 6. EXPERT WITNESSES.

    (a) In General.--Chapter 119 of title 28, United States Code, is 
amended by inserting after section 1828 the following new section:
``Sec. 1829. Multiple expert witnesses
    ``In any civil action filed in a district court, the court shall 
not permit opinion evidence on the same issue from more than 1 expert 
witness for each party, except upon a showing of good cause.''.
    (b) Technical and Conforming Amendment.--The table of sections for 
chapter 119 of title 28, United States Code, is amended by inserting 
after the item relating to section 1828 the following new section:

``1829. Multiple expert witnesses.''.

SEC. 7. SEVERABILITY.

    If any provision of this Act or the amendments made by this Act or 
the application of any provision or amendment to any person or 
circumstance is held invalid, the remainder of this Act and such 
amendments and the application of such provision and amendments to any 
other person or circumstance shall not be affected by that 
invalidation.

SEC. 8. EFFECTIVE DATE.

    Except as expressly provided otherwise, this Act and the amendments 
made by this Act shall become effective 90 days after the date of the 
enactment of this Act. This Act shall not apply to any action or 
proceeding commenced before such effective date.
Civil Justice Reform Act of 1993 - Amends the Federal judicial code to entitle the prevailing party in a diversity action to attorney's fees only to the extent that such party prevails on any position or claim advanced during the action.  Requires the Director of the Administrative Office of the United States Courts to study and report to the Congress on the caseloads of such diversity actions and the awarding of attorney's fees therein.  Repeals such entitlement five years after the enactment of this Act. 
Outlines provisions under which any party to a civil action filed in a district court may serve upon, and have accepted by, any adverse party a written offer to allow judgment to be entered for the money or property specified in the offer.  Requires such offer to be accepted by the adverse party within 14 days or to be considered withdrawn. 
Requires a claimant, at least 30 days before filing suit in a civil action brought in a U.S. district court, to transmit written notice to any intended defendant at an address reasonably calculated to provide actual notice.  Directs the claimant, at the commencement of the action, to file in such court a certificate of service evidencing compliance with such provision. Provides for a 30-day extension of any applicable statute of limitations that would expire during the period of such notice.  Makes such provision inapplicable under specified circumstances. 
Amends the Civil Rights of Institutionalized Persons Act to provide that, in actions brought by any adult convicted of a crime and confined in any jail, prison, or other correctional facility, the court shall continue such case for up to 180 days in order to require the exhaustion of remedies.  (Current law calls for a 90-day extension if the court believes it to be appropriate and in the interests of justice.) 
Requires the Attorney General, upon the request of a State or local correctional facility, to provide technical advice and assistance in establishing plain, speedy, and effective administrative remedies for inmate grievances. 
Prohibits the district court in a civil action from permitting opinion evidence on the same issue from more than one expert witness for each party, except upon a showing of good cause.
Civil Justice Reform Act of 1993