Tort Reform bill

Attorney Accountability Act of 1995 - Amends the Federal judicial code to set forth provisions regarding the award of costs and attorney's fees in Federal civil diversity litigation after an offer of settlement. Provides that any party may, at any time not less than ten days before trial, serve upon an adverse party a written offer to settle a claim for money or property or to the effect specified in the offer, including a motion to dismiss all claims, and to enter into a stipulation dismissing the claim or allowing judgment to be entered according to the terms of the offer. Directs that any such offer, together with proof of service thereof, be filed with the clerk of the court.

Specifies that: (1) if the party receiving the offer serves written notice that the offer is accepted, either party may then file with the clerk of the court the notice of acceptance, together with proof of service thereof; and (2) the fact that an offer is made but not accepted does not preclude a subsequent offer (but evidence of an offer is not admissible for any purpose except in proceedings to enforce a settlement or to determine costs and expenses).

Authorizes the court, at any time before judgment is entered, upon its own motion or the motion of any party, to exempt from such provisions any claim that the court finds presents a question of law or fact that is novel and important and that substantially affects nonparties. Specifies that if a claim is exempted, all offers made by any party under this Act with respect to that claim shall be void and have no effect.

Provides that if all offers made by a party with respect to a claim, including any motion to dismiss all claims, are not accepted and the judgment, verdict, or order finally issued (exclusive of costs, expenses, and attorney fees incurred after judgment or trial) in the action under this Act is not more favorable to the offeree than the last such offer: (1) the offeror may file with the court a petition for payment of costs and expenses, including attorney fees, incurred with respect to the claim from the date the last offer from the offeror or from the offeree was made; and (2) the court, if it makes such a finding, shall order the offeree to pay the offeror's costs and expenses unless it finds that requiring the payment of such costs and expenses would be manifestly unjust.

Specifies that such an attorney's fee shall be a reasonable fee attributable to the claim, calculated on the basis of an hourly rate which may not exceed that which the court considers acceptable in the community in which the attorney practices law, taking into account the attorney's qualifications and experience and the complexity of the case, subject to specified limitations.

(Sec. 3) Amends rule 702 of the Federal Rules of Evidence to provide that: (1) testimony in the form of an opinion by a witness that is based on scientific knowledge shall be inadmissible in evidence unless the court determines that such opinion is scientifically valid and reliable, has a valid scientific connection to the fact it is offered to prove, and is sufficiently reliable so that the probative value of such evidence is not outweighed by the dangers of unfair prejudice, confusion of the issues, or misleading the jury or by considerations of undue delay, waste of time, or needless presentation of cumulative evidence (but makes this provision inapplicable to criminal proceedings); and (2) testimony by a witness who is qualified is inadmissible in evidence if the witness is entitled to receive any compensation contingent on the legal disposition of any claim with respect to which the testimony is offered.

(Sec. 4)

Amends rule 11(c) of the Federal Rules of Civil Procedure to require (currently, permit) the court to impose sanctions upon the attorneys, law firms, or parties that violate provisions regarding certain representations to the court (e.g., regarding frivolous lawsuits). Specifies that a sanction imposed for a violation of this rule: (1) shall be sufficient to deter repetition of such conduct or comparable conduct by others similarly situated and to compensate the parties that were injured by such conduct; and (2) may consist of an order to pay to the other party the amount of the reasonable expenses incurred as a direct result of the filing of the pleading, motion, or other paper that is the subject of the violation, including a reasonable attorney's fee. Repeals provisions making rule 11 (regarding the signing of pleadings, representations to the court, and sanctions) inapplicable to discovery.