On July 25, 2011, a petition captioned “The Estate of Norman Anderson v. Emerson Process Management, Irene Bielen, Craig Rossman (individually and in their official and corporate capacity) ” was filed in the Iowa District Court in and for Marshall County. Clerk’s No. 1.3. The defendants named in the state court petition removed the action to this Court on September 8, 2011. Clerk’s No. 1. On September 15, 2011, the named defendants filed a Motion to Dismiss pursuant to Federal Rule of Civil Procedure 12(b)(6), asserting that the action must be dismissed for, among other things, lack of standing of “The Estate of Norman Anderson” to bring suit. Clerk’s No. 2. On October 11, 2011, an Amended Complaint was filed,naming “Lana Anderson as Administrator of the Estate of Norman Anderson” as the operative named plaintiff. Clerk’s No. 6. On October 19, 2011, the Court found the Motion to Dismiss the original state court petition moot.
On October 21, 2011, a Motion to Dismiss Plaintiffs Amended Complaint Pursuant to Rule 12(b)(6) was filed by Bristol, Inc. d/b/a Emerson Process Management and/or d/b/a Remote Automated Solutions, Inc. (“Emerson Process Management”), Irene Bielen (“Bielen”), and Craig Ross-man (“Rossman”) (collectively “Defendants”). Clerk’s .No. 9. Lana Anderson, as Administrator of the Estate of Norman Anderson (“Plaintiff’) filed a resistance to the Motion on January 19, 2012. Clerk’s No. 16. Defendants filed a reply on February 6, 2012. Clerk’s No. 21. The matter is fully submitted.
I. FACTUAL ALLEGATIONS OF THE COMPLAINT
Norman Anderson (“Anderson”) began working for Emerson Process Management in Marshalltown, Iowa in 1990. Am. Compl. ¶ 11. He held a variety of positions and, in the relevant time period, was supervised by Rossman and Human Resources Manager Bielen. Id. ¶¶ 12-17. Anderson’s last full year of employment with Defendant was 2008 and, during that year, he received a promotion and a raise. Id. ¶¶ 21-23. According to Plaintiff, Defendants had either constructive or actual knowledge that Anderson had severe mental health impairments and suffered from alcohol and prescription drug addictions, depression, a personality disorder, and severe and chronic insomnia. Id. ¶¶ 26-28.
On July 13, 2009, Anderson’s mother was ill. Id. ¶ 30. Anderson emailed Ross-man about his mother’s situation on July 13, 2009, but did not receive a response.
Plaintiff alleges that Defendant terminated Plaintiff for being absent for three days, in direct violation of its Sick Leave Policy, which provided that, “to be eligible for salary continuance, each employee absent due to illness or injury in excess of three (3) days is required to submit a signed doctor’s certificate to the Human Resources Department.” Id. ¶ 56-58 (emphasis altered from original). Plaintiff further contends that, at the time of Anderson’s termination, he was owed 7.5 days of vacation time. Id. ¶¶ 60-63. Plaintiff brings claims against Defendants for: 1) breach of written contract; 2) intentional interference with written contract; 3) fraud; 4) intentional infliction of emotional distress; 5) violation of the Iowa Civil Rights Act (“ICRA”); 6) wrongful discharge; 7) wrongful death; 8) unlawful interference, restraint, or denial of FMLA rights; 9) retaliation for exercising FMLA rights; and 10) disability discrimination in violation of the Americans with Disabilities Act (“ADA”).
II. STANDARD OF REVIEW
To survive a Rule 12(b)(6) motion to dismiss for failure to state a claim, a complaint must contain “a short and plain statement of the claim showing that the pleader is entitled to relief.” Fed.R.Civ.P. 8(a)(2). In reviewing a complaint, a court must “accept as true all of the factual allegations contained in the complaint,” and must draw “all reasonable inferences ... in favor of the plaintiff.” Schaaf v. Residential Funding Corp.,
A viable complaint must include “sufficient factual matter, accepted as true, to ‘state a claim to relief that is plausible on its face.’ ” Ashcroft v. Iqbal,
While a complaint attacked by a Rule 12(b)(6) motion to dismiss does not need detailed factual allegations, a plaintiffs obligation to provide the “grounds” of his “entitle[ment] to relief’ requiresmore than labels and conclusions, and a formulaic recitation of the elements of a cause of action will not do.
Tiuombly,
The Supreme Court, in Iqbal, described a “two-pronged approach” for evaluating complaints challenged under Rule 12(b)(6).
A claim has facial plausibility when the plaintiff pleads factual content that allows the court to draw the reasonable inference that the defendant is liable for the misconduct alleged.... Where a complaint pleads facts that are “merely consistent with” a defendant’s liability, it “stops short of the line between possibility and plausibility of ‘entitlement to relief.’ ”
Id. at 1949 (citing Twombly,
The “parsing” process requires careful examination of the plaintiffs allegations, however, “the complaint should be read as a whole, not parsed piece by piece to determine whether each allegation, in isolation, is plausible.” Braden,
A court will “draw on its judicial experience and common sense” when determining whether a complaint states a plausible claim for relief. Iqbal,
III. LAW AND ANALYSIS
A. Named Plaintiff
Iowa Code § 611.20 provides that “[a]ll causes of action shall survive and may be brought notwithstanding the death of the person entitled or liable to the same.” Iowa Code § 611.22 provides that any action “contemplated in section[ ] 611.20 ... may be brought ... by or against the legal representatives or successors in interest of the deceased.” These statutes, known as survivor statutes, “preserve[ ] any claim a decedent has prior to death.” Estate of Dyer v. Krug,
According to Defendants, because the original Petition named the “Estate of Norman Anderson” as plaintiff, it is a legal nullity that did not operate to toll the applicable statutes of limitations in this case.
Interestingly, Defendants target their entire “legally null” argument towards Plaintiffs wrongful death claim, but make no assertions regarding the applicability of this argument toward any of Plaintiffs nine other causes of action. See Defs.’ Br. at 4-5 (discussing wrongful death claims, but then concluding that “the Court should dismiss the claims in the Amended Complaint with prejudice as they are time-barred” (emphasis added)); id. at 12 (stating in conclusion section that the “Original Petition, which was filed by the ‘Estate of Norman Anderson,’ a party that did not have standing to sue, was a legal nullity which did not toll the statute of limitations and the action should be dismissed in its entirety pursuant to Rule 12(b)(6)”). As a preliminary matter, the Court notes that even if it accepted Defendants’ argument, not all counts asserted in the Amended Complaint would be barred. For instance, while a wrongful death claim is, in fact, subject to a two-year statute of limitations, see Estate of Dyer,
Regardless, while it contains some superficial appeal, the Court does not find Defendants’ argument convincing. Federal Rule of Civil Procedure 17(a)(1) provides that an “action must be prosecuted in the name of the real party in interest.”
B. Count III — Fraud Claim
In Iowa, the elements of a claim for fraudulent misrepresentation or inducement include: 1) a representation; 2) falsity; 3) materiality; 4) scienter; 5) intent; 6) justifiable reliance; and 7) resulting injury or damage. Whalen v. Connelly,
Plaintiff alleges in Count III of the Amended Complaint that Defendants made promises to Anderson via the Sick Leave Policy that constitute either fraudulent misrepresentations or inducements. Am. Compl. ¶ 96. According to Plaintiff, these misrepresentations or inducements were material, were intended to deceive Anderson to get him to “accept greater and greater responsibility, longer and longer work hours, and to remain at Emerson Process Management,” and were relied upon by Anderson in “staying at Emerson Process Management and working to the best of his estimable abilities.” Id. ¶¶ 98-100.
The allegations of the Amended Complaint are wholly insufficient to state a viable claim for fraud under either Rule 9(b) or Iqbal. Plaintiff first argues that the Amended Complaint identifies the allegedly false representation as the Sick Leave Policy. Pl.’s Br. at 18. Plaintiff contends in her brief, however, that the alleged fraud occurred between July 17, 2009 and July 30, 2009 and, specifically, when Rossman told Anderson via email to keep him updated on Anderson’s need to be absent to be with his mother. Id. at 16.
C. Count VI — Wrongful Discharge
“Iowa is an at-will employment state. This means that, absent a valid contract of employment, ‘the employment relationship is terminable by either party at any time, for any reason, or no reason at all.’ ” Berry v. Liberty Holdings, Inc.,
Plaintiffs theory of the wrongful discharge claim is that Defendants retaliated against Anderson because he requested and used leave for his mother’s illness and death, requested clarification about available leave, and was unable to return to work due to a serious mental health condition. Am. Compl. ¶ 116. Plaintiff contends that “[f]iring an employee [for these reasons is] clearly against public policy under the laws of the State of Iowa.” Id. ¶ 117. In her brief, Plaintiff more fully explicates the basis of the wrongful discharge claim, asserting that it is: 1) “against public policy to discharge an employee in retaliation for requesting FMLA leave,” see PL’s Br. at 24, and 2) “it is against public policy to discharge an employee who is committed to involuntary hospitalization pursuant to a court order.” Id. at 33.
Regarding Plaintiffs first assertion that it is against public policy to discharge an employee in retaliation for re-
Regarding Plaintiffs second assertion that it is against public policy to discharge an employee who is involuntarily hospitalized, Plaintiffs claim also fails as a matter of law. First, while Plaintiff argues in her Brief that Iowa Code §§ 125.81 and 229.6 support the wrongful discharge claim, Plaintiffs Amended Complaint mentions neither of these statutory sections. Indeed, Plaintiff does not even specifically allege that Anderson was discharged because he was involuntarily hospitalized; rather she contends merely that Anderson was fired, in part, for “being unable to return to work due to serious mental health conditions.” Am. Compl. ¶ 117. This factual allegation provides an insufficient basis to infer that Plaintiff intended to assert a wrongful discharge claim founded on violation of any public policy stated in Iowa Code §§ 125.81 and 229.6.
Moreover, even if Plaintiff properly pleaded the Iowa Code sections as the basis for her wrongful discharge claim, the claim would still fail. Iowa Code § 229.6 merely provides the mechanisms and procedures whereby a person can be involuntarily hospitalized, whereas Iowa Code § 125.81 provides the procedures for taking an individual who is a chronic substance abuser into immediate custody when there is a danger either to that individual or others. “Even if an employee identifies a statute as an alleged source of public policy, it does not necessarily follow that the statute supports a wrongful discharge claim.” Berry,
D. Count VII — Wrongful Death
Plaintiff asserts in Count VII that Defendants are liable for Anderson’s wrongful death because “Defendants’ tortious acts, as described in the preceding counts and paragraphs, resulted in a mental condition which in turn resulted in [Anderson’s] uncontrollable impulse to commit suicide, and/or which prevented [Anderson] from realizing the true nature of the act of suicide.” Am. Compl. ¶ 121. Defendants argue that the wrongful death claim cannot survive Rule 12(b)(6) because the exclusive remedy for Anderson’s death is in workers’ compensation benefits. Defs. Br. at 9.
The Iowa workers’ compensation statute provides:
The rights and remedies provided in this chapter ... on account of injury, occupational disease or occupational hearing loss for which benefits under this chapter ... are recoverable, shall be the exclusive and only rights and remedies of the employee ... the employee’s ... personal or legal representatives, dependents, or next of kin, at common law or otherwise, on account of such injury, occupational disease, or occupational hearing loss against any of the following:
1. Against the employee’s employer.
2. Against any other employee of such employer, provided that such injury, occupational disease, or occupational hearing loss arises out of and in the course of such employment and is not caused by the other employee’s gross negligence amounting to such lack of care as to amount to wanton neglect for the safety of another.
Iowa Code § 85.20. Chapter 85 of the Iowa Code “provides a zone of protection in workers’ compensation making an employer responsible for workers’ compensation benefits only for any and all personal injuries sustained by an employee arising out of and in the course of employment.” Thayer v. State,
An injury “arises out of’ employment if there is a causal connection between the employment and the injury. Waterhouse [Water Conditioning, Inc. v. Waterhouse], 561 N.W.2d [55,] 57 [(Iowa 1997) ]. This inquiry focuses on the character and source of the risk giving rise to the injury and on the relationship of the risk to the nature of employment. Meade v. Ries,
Id. at 599-600. The term “injury” “encompasses a mental injury as well as a physical injury.” Dunlavey v. Economy Fire & Cas. Co.,
Plaintiff argues that the wrongful death claim in this action does not fall within the exclusivity provision of § 85.20 because “the wrongful death cause of action did not arise while [Anderson] was acting within the scope of his employment nor did it arise out of and in the course of his employment; the actions arose after he was terminated from his employment with Defendants.” Pl.’s Br. at 39. More specifically, Plaintiff urges that none of the mental health or substance abuse issues Anderson experienced during his employment were caused by Defendants; rather “the mental anguish of [Anderson] being fired was realized after his employment ended, thereby pulling the wrongful death outside the realm of compensable injuries for workers’ compensation.” Id. at 41.
The pivotal question in the inquiry is whether Defendants’ act of terminating Plaintiff “arose out of and in the course of employment.” Though Defendants point out that the “act of termination” is deemed in the context of wrongful termination and discrimination claims to “occur[] while a person is employed, not after,” see Defs. Br. at 12, the issue appears to be one of first impression under Iowa’s workers’ compensation law. Courts that have addressed the issue have reached differing conclusions on whether a termination does, in fact, “arise out of and in the course of employment.” Compare Vieira v. WalMart Stores, Inc., No. 00-272-P-H,
In light of the Eighth Circuit’s Kientzy decision, the lack of clarity on the legal question of whether the act of termination arises out of and in the course of employment, and the Court’s obligation to construe the Amended Complaint in the light most favorable to Plaintiff, the Court declines to hold Plaintiffs wrongful death claim preempted by Iowa’s workers’ compensation statute at this juncture. Defendants, however, remain free to seek dismissal or summary judgment on Plaintiffs wrongful death claim on the basis of the workers’ compensation statute or on any other basis at a future point in the litigation when the factual contours of the claim are more fully developed.
IV. CONCLUSION
For the reasons stated herein, Defendants’ Motion to Dismiss (Clerk’s No. 21) is GRANTED IN PART and DENIED IN PART. Specifically, the Motion is granted with respect to Counts III and VI of the Amended Complaint, and denied as to all remaining counts.
IT IS SO ORDERED.
Notes
. Though not clearly articulated in the Amended Complaint, it appears that Anderson did not work on July 13-17, 2009. See Am. Compl. ¶ 35 ("Mr. Anderson took time off from work ... to care for and be with his mom during her last days on this earth.”).
. Although not clear from the Complaint, it appears Anderson did report for work on July 24, 2009. See Am. Compl. ¶ 46 (Bielen stating in a letter that Anderson had not reported for work "since July 24”).
. Plaintiff alleges that “[o]ne or more Defendants had constructive knowledge of [the McFarland Clinic note] prior to Mr. Anderson’s termination.” Am. Compl. ¶ 69. However, the note was dated August 7, 2009 — approximately a week after Anderson’s termination.
. Plaintiff again alleges that “[o]ne or more Defendants had actual knowledge” of this undated doctor's note “prior to Mr. Anderson’s termination,” despite the fact that the note only references dates either on or after Plaintiff’s termination on July 30, 2009. See Am. Compl. ¶¶ 72-73.
. Defendants cite several state appellate court decisions in support of this proposition. See Defs.’ Br. at 5 (citing Byrd v. Tiner,
. Because the present matter was removed on the basis of diversity jurisdiction, the Court looks to state substantive law, i.e., Iowa's survivor statutes, to determine the "real party in interest.” Consul General of Republic of Indonesia v. Bill’s Rentals, Inc.,
. While Defendants point out that paragraph 63 of the original petition names Lana Anderson as “the sole executor” of Anderson’s estate, the distinction between an administrator and an executor of an estate is merely whether the decedent died testate or intestate. See Iowa Code § 633.3(1), (16).
. Plaintiff also argues that Rossman's emails about Anderson's leave usage for his mother’s funeral demonstrate that Defendants "used [Anderson's] time away from work to attend his mother's funeral as an excuse to fire Mr. Anderson, all the time voiding any attempt to abide by the Sick Leave Policy and Procedure [Anderson] relied upon to secure his job.” PL’s Br. at 21. Though not raised by either party, an obvious problem with Plaintiff's fraud theory in this regard is that the Amended Complaint specifies that Anderson "took three days bereavement leave " for his mother's passing. Am. Compl. ¶ 38 (emphasis added). The Sick Leave Policy, however, is specifically alleged to apply to "periods of absence resulting from the employee’s sickness or injury." Id. ¶ 56 (emphasis added).
. Plaintiff requests that the Court ignore prior Northern and Southern District of Iowa decisions on this issue in favor of Lau v. Behr Heat Transfer Sys., Inc., a South Dakota federal district court decision applying South Dakota — not Iowa — wrongful discharge law. See Pl.’s Br. at 31-32 (citing Lau,
. In Fulco, the court stated that "the earliest time that the plaintiff's injury could have arisen was immediately after his discharge. It is impossible for the injury to have arisen during the period of his employment because his employment necessarily was terminated before the alleged injury arose." Fulco,
