Racketeer Influenced and Corrupt Organizations Act of 1987

Racketeer Influenced and Corrupt Organizations Act of 1987 - Amends the Racketeer Influenced and Corrupt Organizations Statute (RICO) to modify the definitional section. Provides additional predicate offenses, which include: (1) prostitution involving minors; (2) the sexual exploitation of children; (3) the destruction of aircraft facilities; (4) forgery of securities; (5) theft or bribery in benefit programs; (6) hostage taking; and (7) murder-for-hire.

Includes a separate definition of "fraudulent activity." (Such activities were included within the definition of "racketeering activity.")

Provides increased criminal penalties for RICO violations which result in death.

Allows the U.S. district court, in civil claims arising from RICO violations, to: (1) provide injunctive relief; (2) award the United States treble damages; and (3) require any party filing an improper or frivolous pleading, motion, or paper to pay certain costs, including attorney fees.

Allows the United States to intervene in any such action if the proceeding is of general public importance. Establishes a five-year statute of limitations for such actions.

States that civil RICO claims shall be subject to settlement by arbitration. States that no civil action may be brought under such Act if the elements of the fraudulent activity involve: (1) domestic relations; (2) products liability; (3) decedents' estates; or (4) a landlord-tenant dispute. States that no such action may be brought by a person in connection with and during a labor dispute.

Allows any State attorney general to bring a civil action as parens patriae on behalf of any individuals residing in such State who are injured as a result of a RICO violation.

Allows the court to order the defendant to pay the costs of investigation and prosecution.

Urges the National Association of Attorneys General to form a State RICO committee to promulgate advisory guidelines on the use of RICO by State and local governments.