April 25, 1995 CONGRESSIONAL RECORD — SENATE S5677

attorney’s services, such as administrative

or secretarial assistance, overhead, travel

expenses, witness fees, or preparation by a

person other than the attorney of any study,

analysis, report, or test;

(C) the term ‘‘claimant’’ means any natural person who files a civil action arising

under any Federal law or in any diversity action in Federal court and—

(i) if such a claim is filed on behalf of the

claimant’s estate, the term shall include the

claimant’s personal representative; or

(ii) if such a claim is brought on behalf of

a minor or incompetent, the term shall include the claimant’s parent, guardian, or

personal representative;

(D) the term ‘‘contingent fee’’ means the

cost or price of an attorney’s services determined by applying a specified percentage,

which may be a firm fixed percentage, a

graduated or sliding percentage, or any combination thereof, to the amount of the settlement or judgment obtained;

(E) the term ‘‘hourly fee’’ means the cost

or price per hour of an attorney’s services;

(F) the term ‘‘initial meeting’’ means the

first conference or discussion between the

claimant and the attorney, whether by telephone or in person, concerning the details,

facts, or basis of the claim;

(G) the term ‘‘natural person’’ means any

individual, and does not include an artificial

organization or legal entity, such as a firm,

corporation, association, company, partnership, society, joint venture, or governmental

body; and

(H) the term ‘‘retain’’ means the act of a

claimant in engaging an attorney’s services,

whether by express or implied agreement, by

seeking and obtaining the attorney’s services.

(2) DISCLOSURE AT INITIAL MEETING.—

(A) IN GENERAL.—An attorney retained by

a claimant shall, at the initial meeting, disclose to the claimant the claimant’s right to

receive a written statement of the information described under paragraph (3).

(B) WAIVER AND EXTENSION.—The claimant,

in writing, may—

(i) waive the right to receive the statement

required under subparagraph (A); or

(ii) extend the 30-day period referred to

under paragraph (3).

(3) INFORMATION AFTER INITIAL MEETING.—

Subject to paragraph (2)(B), within 30 days

after the initial meeting, an attorney retained by a claimant shall provide a written

statement to the claimant containing—

(A) the estimated number of hours of the

attorney’s services that will be spent—

(i) settling or attempting to settle the

claim or action; and

(ii) handling the claim through trial;

(B) the basis of the attorney’s fee for services (such as a contingent, hourly, or flat fee

basis) and any conditions, limitations, restrictions, or other qualifications on the fee

the attorney determines are appropriate; and

(C) the contingent fee, hourly fee, or flat

fee the attorney will charge the client.

(4) INFORMATION AFTER SETTLEMENT.—

(A) IN GENERAL.—An attorney retained by

a claimant shall, within a reasonable time

not later than 30 days after the date on

which the claim or action is finally settled

or adjudicated, provide a written statement

to the claimant containing—

(i) the actual number of hours of the attorney’s services in connection with the claim;

(ii) the total amount of the fee for the attorney’s services in connection with the

claim; and

(iii) the actual fee per hour of the attorney’s services in connection with the claim,

determined by dividing the total amount of

the fee by the actual number of hours of attorney’s services.

(B) WAIVER AND EXTENSION.—A client, in

writing, may—

(i) waive the right to receive the statement

required under subparagraph (A); or

(ii) extend the 30-day period referred to

under subparagraph (A).

(5) FAILURE TO DISCLOSE.—Except with regard to a claimant who provides a waiver

under paragraph (2)(B) or (4)(B), a claimant

to whom an attorney fails to disclose information required by this section may withhold 10 percent of the fee and file a civil action for damages resulting from the failure

to disclose in the court in which the claim or

action was filed or could have been filed.

(6) OTHER REMEDIES.—This subsection shall

supplement and not supplant any other

available remedies or penalties.

(b) EFFECTIVE DATE.—This title shall take

effect and apply to claims or actions filed on

and after the date occurring 30 days after the

date of enactment of this Act.

HOLLINGS AMENDMENT NO. 598

Mr. HOLLINGS proposed an amendment to amendment No. 597 proposed

by Mr. ABRAHAM to the bill (H.R. 956)

to establish legal standards and procedures for product liability litigation,

and for other purposes; as follows:

At the end of the matter proposed to be inserted, add the following:

SEC. 302. LIMITATIONS ON FEES.

If an attorney at law brings a civil action

or is engaged to defend against any civil action, the attorney may not be compensated

for the legal services provided in connection

with that action at a rate in excess of $50 an

hour.

BROWN AMENDMENT NO. 599

Mr. GORTON (for Mr. BROWN) proposed an amendment to amendment

No. 596 proposed by Mr. GORTON the bill

H.R. 956, supra; as follows:

At the appropriate place, insert the following new section:

SEC. . REPRESENTATIONS AND SANCTIONS

UNDER RULE 11 FEDERAL RULES OF

CIVIL PROCEDURE.

(a) IN GENERAL.—Rule 11 of the Federal

Rules of Civil Procedure is amended—

(1) in subsection (b)(3) by striking out ‘‘or,

if specifically so identified, are likely to

have evidentiary support after a reasonable

opportunity for further investigation or discovery’’ and inserting in lieu thereof ‘‘or are

well grounded in fact’’; and

(2) in subsection (c)—

(A) in the first sentence by striking out

‘‘may, subject to the conditions stated

below,’’ and inserting in lieu thereof ‘‘shall’’;

(B) in paragraph (2) by striking out the

first and second sentences and inserting in

lieu thereof the following: ‘‘A sanction imposed for violation of this rule may consist

of reasonable attorneys’ fees and other expenses incurred as a result of the violation,

directives of a nonmonetary nature, or an

order to pay penalty into court or to a

party.’’; and

(C) in paragraph (2)(A) by inserting before

the period ‘‘, although such sanctions may be

awarded against a party’s attorneys’’.

(b) EFFECTIVE DATE.—The provisions of

this section shall take effect 30 days after

the date of the enactment of this Act.

COMMITTEE ON ENERGY AND NATURAL

NOTICE OF HEARING

fRESOURCES

Mr. MURKOWSKI. Mr. President, I

would like to announce for the information of the Senate and the public

that the hearing scheduled before the

Committee on Energy and Natural Resources for Thursday, April 27, in room

SD–366 to consider S. 537 and H.R. 402,

bills to amend the Alaska Native

Claims Settlement Act, will begin at

9:45 a.m. instead of 9:30 a.m., as previously scheduled.

AUTHORITY FOR COMMITTEES TO

fMEET

COMMITTEE ON LABOR AND HUMAN RESOURCES

Mr. GORTON. Mr. President, I ask

unanimous consent that the Committee on Labor and Human Resources be

authorized to meet for an executive

session, during the session of the Senate on Tuesday, April 25, 1995, at 9:30

a.m.

The PRESIDING OFFICER. Without

objection, it is so ordered.

SUBCOMMITTEE ON STRATEGIC FORCES

Mr. GORTON. Mr. President, I ask

unanimous consent that the Subcommittee on Strategic Forces of the

Committee on Armed Services be authorized to meet on Tuesday, April 25,

1995 at 2 p.m. in open session to receive

testimony on the Department of Energy’s Environmental Management Program in review of the defense authorization request for fiscal year 1996 and

the future years defense program; Defense Nuclear Facilities Safety Board

reauthorization.

The PRESIDING OFFICER. Without

objection, it is so ordered.

ADDITIONAL STATEMENTS

f

MORRIS K. UDALL PARKINSON’S

RESEARCH, EDUCATION, AND ASSISTANCE ACT

∑ Mr. HATFIELD. Mr. President, since

the introduction of the Morris K. Udall

Parkinson’s Research, Education, and

Assistance Act, S. 684, on April 6, 1995,

I have received subsequent letters of

support from many groups and individuals around the country.

I ask that a list of these groups and

individuals be printed in the RECORD

following a letter of support from the

chairman of the National Parkinson

Foundation, Inc.

The material follows:

NATIONAL PARKINSON FOUNDATION, INC.,

Miami, FL, March 27, 1995.

Hon. MARK HATFIELD,

U.S. Senator,

Washington, DC.

DEAR SENATOR HATFIELD: The National

Parkinson Foundation was founded with a

dual purpose. Firstly, to find the cause and

cure of Parkinson’s Disease and secondly, to

improve the quality of care for Parkinson

patients and their caregivers.

Our fifty thousand square foot headquarters building, located in Miami, Florida,

comprises clinical offices, research facilities,

therapeutic departments and a Parkinson

day care center.

In addition, our dedication has caused us

to create and to support twenty additional