To amend title 38, United States Code, to improve veterans' reemployment rights under chapter 43 of such title, to exempt claims brought under that chapter from arbitration under chapter 1 of title 9 of such Code, and for other purposes.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Reservist Access to Justice Act of 
2007''.

SEC. 2. IMPROVEMENTS TO VETERANS' REEMPLOYMENT RIGHTS.

    (a) Liquidated Damages.--
            (1) State and private employers.--Section 4323(d)(1)(C) of 
        title 38, United States Code, is amended to read as follows:
            ``(C) If the court determines that the employer's failure 
        to comply with the provisions of this chapter was willful, the 
        court may require the employer to pay the person an amount 
        equal to the greater of--
                    ``(i) the amount referred to in subparagraph (B) as 
                liquidated damages; or
                    ``(ii) $20,000.''.
            (2) Federal government employers.--Section 4324 of such 
        title is amended by adding at the end the following new 
        subsection:
    ``(e)(1) In any action under this section, the court may award 
relief as follows:
            ``(A) The court may require the employer to comply with the 
        provisions of this chapter.
            ``(B) The court may require the employer to compensate the 
        person for any loss of wages or benefits suffered by reason of 
        such employer's failure to comply with the provisions of this 
        chapter.
            ``(C) If the court determines that the employer's failure 
        to comply with the provisions of this chapter was willful, the 
        court may require the employer to pay the person an amount 
        equal to the greater of--
                    ``(i) the amount referred to in subparagraph (B) as 
                liquidated damages; or
                    ``(ii) $20,000.
    ``(2)(A) Any compensation awarded under subparagraph (B) or (C) of 
paragraph (1) shall be in addition to, and shall not diminish, any of 
the other rights and benefits provided for under this chapter.
    ``(B) In the case of an action commenced in the name of the United 
States for which the relief includes compensation awarded under 
subparagraph (B) or (C) of paragraph (1), such compensation shall be 
held in a special deposit account and shall be paid, on order of the 
Attorney General, directly to the person. If the compensation is not 
paid to the person because of inability to do so within a period of 3 
years, the compensation shall be covered into the Treasury of the 
United States as miscellaneous receipts.''.
    (b) Injunctive Relief.--Section 4323(e) of such title is amended by 
striking ``may'' and inserting ``shall''.
    (c) Punitive Damages Authorized for Certain State and Private 
Employers Who Violate Chapter 43 of Title 38, United States Code.--
Section 4323(d) of title 38, United States Code, is amended by adding 
at the end the following new subparagraph:
            ``(D) In the case of an employer with 15 or more employees, 
        the court may require the employer to pay the person punitive 
        damages, if the court determines that the employer's failure to 
        comply with the provisions of this chapter was done with malice 
        or reckless indifference to the federally-protected rights of 
        the person.''.
    (d) Clarification of Right of Action Under USERRA.--Section 4323 of 
title 38, United States Code, is amended--
            (1) in subsection (b), by striking paragraphs (2) and (3) 
        and inserting the following new paragraph (2):
            ``(2) In the case of an action against a State (as an 
        employer) or a private employer by a person, the action may be 
        brought in a district court of the United States or State court 
        of competent jurisdiction.'';
            (2) by redesignating subsection (j) as subsection (k); and
            (3) by inserting after subsection (i) the following new 
        subsection (j):
    ``(j)(1)(A) A State's receipt or use of Federal financial 
assistance for any program or activity of a State shall constitute a 
waiver of sovereign immunity, under the eleventh amendment to the 
Constitution or otherwise, to a suit brought by an employee of that 
program or activity under this chapter for the rights or benefits 
authorized the employee by this chapter.
    ``(B) In this paragraph, the term `program or activity' has the 
meaning given the term in section 309 of the Age Discrimination Act of 
1975 (42 U.S.C. 6107).
    ``(2) An official of a State may be sued in the official capacity 
of the official by any person covered by paragraph (1) who seeks 
injunctive relief against a State (as an employer) under subsection 
(e). In such a suit the court may award to the prevailing party those 
costs authorized by section 722 of the Revised Statutes (42 U.S.C. 
1988).''.

SEC. 3. EXEMPTION FROM CHAPTER 1 OF TITLE 9, UNITED STATES CODE, OF 
              CLAIMS BY MEMBERS OF THE UNIFORMED SERVICES FOR 
              EMPLOYMENT AND REEMPLOYMENT RIGHTS AND BENEFITS.

    Section 4322 of title 38, United States Code, is amended by adding 
at the end the following:
    ``(g) Chapter 1 of title 9 shall not apply with respect to 
employment or reemployment rights or benefits claimed under this 
subchapter.''.

SEC. 4. EFFECTIVE DATE.

    The amendments made by this Act shall apply with respect to an 
action commenced after the date of the enactment of this Act.
                                 
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Summary: Reservist Access to Justice Act of 2007 - Allows a court, if it determines that a federal, state, or private employer's failure to comply with a veteran's reemployment rights was willful, to require the employer to pay the individual the greater of any loss of wages or benefits, or $20,000. Requires (current law authorizes) a court to exercise injunctive relief to fully vindicate such rights.

Authorizes a court to require a state or private employer to pay punitive damages for violations found to be with malice or reckless indifference to the individual's federally-protected reemployment rights.

Makes federal arbitration procedures inapplicable to claims for veterans' employment and reemployment rights and benefits.