Memorandum Order on Motion to Dismiss Counterclaims
ARTHUR J. SCHWAB, District Judge.
This is an action brought pursuant to the Employee Retirement Income Security Act ("ERISA"). Plaintiffs brought this action to recover almost $600, 000 of assets under the UPMC Basic Retirement Plan (the Plan), for benefits which were paid out allegedly "mistakenly" and incorrectly to a single participant, Defendant/Counterclaimant Colleen Keller. Ms. Keller was an executive secretary for UPMC since 1988, and upon her retirement, according to Plaintiffs, she allegedly should have received a lump sum distribution from the Plan in the amount of $75, 314.03, and instead, she actually received $664, 213.36. Ms. Keller rolled over the $664, 213.36 into a Charles A. Schwab Individual Retirement Account (IRA), who was originally also sued by UPMC, but has since been dismissed from the lawsuit, after having deposited the amount of the alleged overpayment, plus interest and earnings, into a Court funded account. Ms. Keller filed a two count Counterclaim against UPMC also for breach of fiduciary duty under ERISA (Count I), and state law claims of Negligence/Negligent Misrepresentation under Restatement of Tort (Second) § 522 (Count II).
In her Counterclaim, Defendant/Counterclaimant alleges that the payment was not a "mistake" and that she was not "overpaid;" but, if she was, UPMC substantially breached its fiduciary duty, failed to exercise reasonable care, and failed to conduct necessary audits to detect any purported mistakes, thus entitling her to equitable, "make-whole, " relief.
Currently pending before this Court is Plaintiffs' Motion to Dismiss (doc. no. 15), with supporting briefs (doc. nos. 16 and 22), and Defendant/Counterclaimant's Response in Opposition thereto (doc. no. 19). For the reasons that follow, this Court will GRANT IN PART, and DENY IN PART the pending Motion to Dismiss (doc. no. 15).
II. Standard of Review
In considering a Rule 12(b)(6) motion, Federal Courts require notice pleading, as opposed to the heightened standard of fact pleading. Fed.R.Civ.P. 8(a)(2) requires only "a short and plain statement of the claim showing that the pleader is entitled to relief, ' in order to give the defendant fair notice of what the... claim is and the grounds on which it rests.'" Bell Atlantic Corp. v. Twombly, 550 U.S. 554, 555 (2007) (quoting Conley v. Gibson , 355 U.S. 41, 47 (1957)).
Building upon the landmark United States Supreme Court decisions in Twombly and Ashcroft v. Iqbal , 556 U.S. 662 (2009), the United States Court of Appeals for the Third Circuit explained that a District Court must undertake the following three steps to determine the sufficiency of a complaint:
First, the court must take note of the elements a plaintiff must plead to state a claim. Second, the court should identify allegations that, because they are no more than conclusions, are not entitled to the assumption of truth. Finally, where there are well-pleaded factual allegations, a court should assume their veracity and then determine whether they plausibly give rise to an entitlement for relief.
Connelly v. Steel Valley Sch. Dist. , 706 F.3d 209, 212 (3d Cir. 2013) (citation omitted).
The third step of the sequential evaluation requires this Court to consider the specific nature of the claims/counterclaims presented and to determine whether the facts pled to substantiate the claims are sufficient to show a "plausible claim for relief." Covington v. Int'l Ass'n of Approved Basketball Officials , 710 F.3d 114, 118 (3d Cir. 2013). "While legal conclusions can provide the framework of a Complaint, they must be supported by factual allegations." Iqbal , 556 U.S. at 664.
This Court may not dismiss a Complaint/Counterclaim merely because it appears unlikely or improbable that Plaintiff/Counterclaimant can prove the facts alleged or will ultimately prevail on the merits. Twombly , 550 U.S. at 563 n.8. Instead, this Court must ask whether the facts alleged raise a reasonable expectation that discovery will reveal evidence of the necessary elements. Id. at 556. Generally speaking, a Complaint/Counterclaim that provides adequate facts to establish "how, when, and where" will survive a Motion to Dismiss. Fowler v. UPMC Shadyside , 578 F.3d 203, 212 (3d Cir. 2009).
In short, a Motion to Dismiss should not be granted if a party alleges facts, which could, if established at trial, entitle him/her to ...