Michael D. Knadle, as Personal Representative v. Estate of Evangeline Stewart Knadle

Summary

The Florida First District Court of Appeal held that a decedent's homestead property lost its homestead character when the will directed the personal representative to sell the property and place the proceeds into the estate residue. The proceeds were therefore subject to the claim of a health care provider. The court affirmed and certified a question of great public importance concerning protection of homestead-sale proceeds under Article X, section 4(b) of the Florida Constitution.

Holdings

1. When a testator's will specifically directs that homestead property be sold and that the proceeds be placed in the estate residue for distribution with other assets, the property loses its homestead character and becomes subject to the claims of creditors.

Questions Presented

1. Whether a decedent's homestead loses its homestead character and becomes subject to creditors' claims when the will directs the personal representative to sell the property and place the proceeds into the estate residue for distribution to adult children.
2. Whether article X, section 4(b) of the Florida Constitution protects the proceeds of a homestead sale under those circumstances.

Disposition

affirmed