Page:United States Statutes at Large Volume 100 Part 1.djvu/832

 100 STAT. 796

PUBLIC LAW 99-372—AUG. 5, 1986

Public Law 99-372 99th Congress Aug. 5, 1986 [S. 415]

Handicapped Children's Protection Act of 1986. Courts, U.S. 20 USC 1400 note.

An Act

To amend the Education of the Handicapped Act to authorize the award of reasonable attorneys' fees to certain prevailing parties, to clarify the effect of the Education of the Handicapped Act on rights, procedures, and remedies under other laws relating to the prohibition of discrimination, and for other purposes.

Be it enacted by the Senate and House of Representatives United States of America in Congress assembled,

of the

SHORT TITLE

1. This Act may be cited as the 'Handicapped Children's Protection Act of 1986". SECTION

AWARD OF ATTORNEYS FEES

20 USC 1415.

28 USC app.

SEC. 2. Section 615(e)(4) of the Education of the Handicapped Act is amended by inserting "(A)" after the paragraph designation and by adding at the end thereof the following new subparagraphs: "(B) In any action or proceeding brought under this subsection, the court, in its discretion, may award reasonable attorneys' fees as part of the costs to the parents or guardian of a handicapped child or youth who is the prevailing party. "(C) For the purpose of this subsection, fees awarded under this subsection shall be based on rates prevailing in the community in which the action or proceeding arose for the kind and quality of services furnished. No bonus or multiplier may be used in calculating the fees awarded under this subsection. "(D) No award of attorneys' fees and related costs may be made in any action or proceeding under this subsection for services performed subsequent to the time of a written offer of settlement to a parent or guardian, if— "(i) the offer is made within the time prescribed by Rule 68 of the Federal Rules of Civil Procedure or, in the case of an administrative proceeding, at any time more than ten days before the proceeding begins; "(ii) the offer is not accepted within ten days; and "(iii) the court or administrative officer finds that the relief finally obtained by the parents or guardian is not more favorable to the parents or guardian than the offer of settlement. "(E) Notwithstanding the provisions of subparagraph (D), an award of attorneys' fees and related costs may be made to a parent or guardian who is the prevailing party and who was substantially justified in rejecting the settlement offer. "(F) Whenever the court finds that— "(i) the parent or guardian, during the course of the action or proceeding, unreasonably protracted the final resolution of the controversy; "(ii) the amount of the attorneys' fees otherwise authorized to be awarded unreasonably exceeds the hourly rate prevailing in

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