U.S. Steel Corp. v. Pacific Gas and Electric Company Western Industrial X-Ray, Inc., Counter-Defendant-Appellee

953 F.2d 1389 NOTICE: Ninth Circuit Rule 36-3 provides that dispositions other than opinions or orders designated for publication are not precedential and should not be cited except when relevant under the doctrines of law of the case, res judicata, or collateral estoppel. U.S. STEEL CORP., Plaintiff, v. PACIFIC GAS AND ELECTRIC COMPANY; Defendant-Appellant, Western Industrial X-Ray, Inc., Counter-defendant-Appellee. No. 90-16284. United States Court of Appeals, Ninth Circuit. Argued and Submission Deferred Nov. 5, 1991. Submitted Dec. 6, 1991. Decided Jan. 29, 1992. Before POOLE, REINHARDT and FERNANDEZ, Circuit Judges. 1 MEMORANDUM * 2 Pacific Gas & Electric Co. (PG & E) appeals the district court's order granting Western Industrial X-Ray's (WIX's) motion for attorneys' fees. WIX moved the district court to exercise its inherent power to award attorneys' fees to a party forced to defend against an action filed in bad faith. The court, however, found that since its jurisdiction was based on diversity of citizenship, state law governed the issue. 1 Thus, it treated WIX's motion as a motion under the California statute governing the imposition of attorneys' fees for…