Glenn K. Jackson Inc., Dba Jackson & Donahue Glenn K. Jackson v. Richard Roe Stuart, Maue, Mitchell & James

I.

Glenn K. Jackson, Inc., d.b.a. Jackson & Donahue, and Glenn K. Jackson individually (collectively “J & D”) appeal the district court’s granting of summary judgment in favor of Stuart, Maue, Mitchell & James (“Stuart Maue”) in J & D’s diversity action seeking relief under California law. The action arises out of an audit conducted by Stuart Maue of J & D’s billing statements sent to Golden Eagle Insurance Company. J & D billed Golden Eagle for attorneys’ fees incurred while representing Golden Eagle and its insureds in worker’s compensation cases, as one of Golden Eagle’s panel counsel. The district court had jurisdiction pursuant to 28 U.S.C. §§ 1332 , 1441; this court has jurisdiction pursuant to 28 U.S.C. § 1291 . We affirm in part and reverse in part.

II.

Jackson & Donahue is a law corporation owned by Glenn K. Jackson. J & D is primarily involved in the defense of insureds in workers’ compensation litigation. In early 1995, Golden Eagle hired J & D to represent it and its insureds in workers’ compensation eases as one of its panel counsel. Before beginning work for Golden Eagle, Jackson, on behalf of his firm, acknowledged and agreed to Golden Eagle’s Litigation Handling…