Mark T. Pulte, Personal Representative v. the New Common School Foundation
CourtDistrict Court of Appeal of Florida
Date FiledJanuary 28, 2022
Docket2D20-3206
StatusPublished
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Full Opinion
DISTRICT COURT OF APPEAL OF FLORIDA
SECOND DISTRICT
MARK T. PULTE, as personal representative
of the Estate of William J. Pulte, deceased,
Appellant,
v.
THE NEW COMMON SCHOOL FOUNDATION,
Appellee.
No. 2D20-3206
January 28, 2022
Appeal from the Circuit Court for Collier County; Lauren L. Brodie,
Judge.
Christopher D. Donovan of Roetzel & Andress, LPA, Naples, for
Appellant.
Kelly O'Keefe and Julie Fishman Berkowitz of Stearns Weaver Miller
Weissler Alhadeff & Sitterson, P.A., Tallahassee and Miami, for
Appellee.
ROTHSTEIN-YOUAKIM, Judge.
Mark T. Pulte (Pulte or Personal Representative), as personal
representative of his father's estate, appeals from the probate
court's order granting The New Common School Foundation's (the
Foundation) "Motion to Enforce Order Approving Settlement and
Settlement Agreement." Because we conclude that the probate
court lacked jurisdiction to enforce the settlement agreement, we
reverse.
Developer and philanthropist William J. Pulte was the largest
charitable donor to the Foundation, which ran Cornerstone
Schools, a charter-school organization that provides an alternative
to public education for low-income students in and around Detroit.
Through the William J. Pulte Trust (the Trust), he pledged
donations and guaranteed loans totaling millions of dollars to the
Foundation.
After William J. Pulte's death in March 2018, his son, Pulte,
was named personal representative of his estate (the Estate). When
the Foundation filed timely creditor claims in the probate case with
respect to the decedent's charitable pledges and loans, the Personal
Representative objected, triggering the Foundation's deadline to
independently bring suit. See § 733.705(5), Fla. Stat. (2018).
Ultimately, however, the Estate and the Foundation—along
with the Trust, of which Pulte also is a trustee—negotiated what
was, in effect, a presuit settlement of all claims. Pursuant to the
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terms of the settlement agreement (the Agreement), the Personal
Representative petitioned the probate court to approve the
Agreement for the purpose of relieving him of any liability or
responsibility for the compromised claims, as provided under
section 733.708, Florida Statutes (2018).1
The probate court entered an order (the Approval Order)
finding the Agreement in the best interest of the Estate and its
interested persons and authorizing the Personal Representative to
enter into it. The Approval Order neither incorporated the
Agreement nor reserved jurisdiction to enforce the Agreement.2
1 That section provides, in part:
When a proposal is made to compromise any claim,
whether in suit or not, by or against the estate of a
decedent or to compromise any question concerning the
distribution of a decedent's estate, the court may enter
an order authorizing the compromise if satisfied that the
compromise will be for the best interest of the interested
persons. The order shall relieve the personal
representative of liability or responsibility for the
compromise.
2 The order provided, in pertinent part:
1. The time for filing objections to claims against the
Estate of William J. Pulte, also known as William J.
Pulte, III, has expired.
2. Proper notice of the settlement agreement has
been given to all interested persons.
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Not long thereafter, a dispute arose, and the Trust ceased all
payments to the Foundation. The Foundation then moved in the
probate court to enforce the Approval Order against the Estate and
the Trust. The Personal Representative opposed the motion on
various grounds. After a hearing, the probate court granted the
Foundation's motion and, for the first time, expressly retained
jurisdiction to enforce the Agreement. This appeal followed.
On appeal, the Personal Representative argues, among other
things, that reversal is warranted pursuant to Paulucci v. General
Dynamics Corp., 842 So. 2d 797, 799 (Fla. 2003). In that case, the
supreme court held that "a court has jurisdiction to enforce a
settlement agreement where the court has either incorporated the
3. The proposed settlement agreement will be in the
best interests of the interested persons and the estate. It
therefore is
ADJUDGED that MARK PULTE, as Personal
Representative, is authorized to compromise and settle
the claims of Archdiocese of Detroit, St. Scholastica
Parish of Detroit, and New Common School Foundation
that are identified in the Petition for Order Approving
Settlement Agreement. Upon compromise of the claims
pursuant to the terms of the settlement agreement that
was attached to the Petition, the Personal Representative
is relieved of all liability and responsibility in connection
with these claims.
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agreement into a final judgment or approved the agreement by
order and retained jurisdiction to enforce it[s] terms." Id. The
Personal Representative argues that because the probate court
neither incorporated the Agreement into a final judgment nor
retained jurisdiction to enforce its terms, the court lacked
jurisdiction to enforce the Agreement; rather, the Foundation
should have sought enforcement through a separately filed civil
suit.
The Foundation argues that Paulucci does not mandate
reversal because (1) the Personal Representative failed to raise this
jurisdictional argument in the probate court and has therefore
waived it, (2) the probate court incorporated the Agreement into the
Approval Order, and (3) the probate court both approved the
Agreement and implicitly retained jurisdiction to enforce its terms.
We reject without further discussion the Foundation's latter two
arguments because the Approval Order was not a "final judgment"
and by its plain language neither incorporated the Agreement nor
retained jurisdiction to enforce its terms.
As to the first argument, we agree with the Foundation that
the Personal Representative failed to raise this jurisdictional
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argument in the probate court: arguing primarily that the court
lacked personal jurisdiction over the Trust and that the Agreement
had been fraudulently induced, he never invoked Paulucci in name
or in principle, and he never otherwise clearly articulated an
objection to the probate court's subject matter jurisdiction (or
continuing jurisdiction, as discussed below) over the Foundation's
motion to enforce. See Lincare Holdings Inc. v. Ford, 307 So. 3d
905, 912 (Fla. 2d DCA 2020) ("[T]o be preserved for appeal, 'the
specific legal ground upon which a claim is based must be raised at
trial and a claim different than that will not be heard on appeal.' "
(alteration in original) (quoting Aills v. Boemi, 29 So. 3d 1105, 1109
(Fla. 2010))). Apart from arguments challenging subject matter
jurisdiction, which can never be waived, see 84 Lumber Co. v.
Cooper, 656 So. 2d 1297, 1298 (Fla. 2d DCA 1994) ("[T]he fact that
the lack of [subject matter] jurisdiction is never presented to a trial
court does not preclude an appellate court from considering the
issue."), the failure to preserve an argument for appeal generally
precludes our consideration of that argument on appeal, see Estate
of Herrera v. Berlo Indus., Inc., 840 So. 2d 272, 273 (Fla. 3d DCA
2003) ("[I]ssues not presented in the trial court cannot be raised for
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the first time on appeal."). We also agree with the Foundation that
whether the probate court retained jurisdiction to enforce the
Agreement is more properly considered a question of "continuing
jurisdiction" than of "subject matter jurisdiction." As we observed
in Kozel v. Kozel, 302 So. 3d 939, 945 (Fla. 2d DCA 2019), "[s]ubject
matter jurisdiction refers to a trial court's constitutional or
statutory authority to decide a class of cases, while continuing
jurisdiction refers to a trial court's jurisdiction to act in a case over
which it had subject matter jurisdiction, but which it finally
resolved with the entry of a judgment." See also Paulucci, 842 So.
2d at 801, n.3 (explaining differences between subject matter
jurisdiction and continuing jurisdiction).
Regardless of nomenclature, however, our precedent dictates
that the Personal Representative did not waive this jurisdictional
challenge by failing to raise it below. See, e.g., Dandar v. Church of
Scientology Flag Serv. Org., 190 So. 3d 1100, 1103 (Fla. 2d DCA
2016) ("Once the voluntary dismissal with prejudice was filed, no
authority remained for the exercise of jurisdiction, and the fact that
Dandar raised this issue almost a year after Scientology moved to
enforce the settlement agreement is neither a bar nor a waiver."); 84
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Lumber Co., 656 So. 2d at 1298–99 (concluding that the court was
"obligated to consider 84 Lumber's contention that the trial court
had no subject matter jurisdiction in the dismissed case to enter
the order under review" notwithstanding 84 Lumber's failure to
raise that contention in the trial court (citing Walt v. Walt, 574 So.
2d 205 (Fla. 1st DCA 1991)); see also MTW Jordan, Inc. v.
Baskerville, 323 So. 3d 331, 333, n.1 (Fla. 5th DCA 2021) (stating
that the appellant could raise analogous jurisdictional challenge on
appeal for the first time); cf. 14302 Marina San Pablo Place SPE, LLC
v. VCP-San Pablo, Ltd., 92 So. 3d 320, 321 (Fla. 1st DCA 2012)
(Ray, J., concurring) (urging that "lack of [continuing] jurisdiction
should merely render the court's act voidable, and under
appropriate circumstances, subject to consent, waiver, or estoppel"
but recognizing that the First District's precedent required the
holding "that the type of jurisdictional challenge presented in [that]
case cannot be waived and may be raised for the first time on
appeal"). But see MCR Funding v. CMG Funding Corp., 771 So. 2d
32, 35–36 & n.2 (Fla. 4th DCA 2000) (concluding that MCR had
waived its challenge to the trial court's continuing jurisdiction to
enforce the parties' settlement agreement by failing to object in the
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trial court and by asking court to decide the dispute over the
agreement; certifying conflict with 84 Lumber Co., 656 So. 2d at
1297). And because the probate court's order approving the
Agreement did not retain jurisdiction to enforce its terms, see
Paulucci, 842 So. 2d at 799, the court lacked jurisdiction to do so.
We therefore reverse and remand for the probate court to
vacate its order granting the Foundation's enforcement motion and
to dismiss the motion for lack of jurisdiction. We also certify
conflict with the Fourth District's decision in MCR Funding, 771 So.
2d at 35–36 & n.2.
Reversed and remanded with directions; conflict certified.
MORRIS, C.J., and KHOUZAM, J., Concur.
Opinion subject to revision prior to official publication.
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