Opinion ID: 2209974
Heading Depth: 2
Heading Rank: 1

Heading: WaiverPreservation of Error.

Text: It is well-established that a party must exhaust any available administrative remedies before seeking relief in the courts. Shors v. Johnson, 581 N.W.2d 648, 650 (Iowa 1998). The district court is deprived of jurisdiction of the case if administrative remedies are not exhausted. Id. When a party claims a jurisdictional challenge has been waived, it is often necessary to determine whether the specific challenge to jurisdiction targets subject matter jurisdiction or jurisdiction of a particular case. Subject matter jurisdiction refers to the authority of the court to hear and determine the general class of cases to which the proceeding belongs. Christie v. Rolscreen Co., 448 N.W.2d 447, 450 (Iowa 1989). It cannot be conferred by consent, waiver, or estoppel. State v. Mandicino, 509 N.W.2d 481, 483 (Iowa 1993). This is because parties to a lawsuit cannot establish jurisdiction where it has not been first conferred by the constitution or legislation. See Molitor v. City of Cedar Rapids, 360 N.W.2d 568, 569 (Iowa 1985). On the other hand, the failure to properly invoke the authority of the court in a particular case can be obviated by consent, waiver, or estoppel. Mandicino, 509 N.W.2d at 483. Generally, the exhaustion-of-remedies requirement does not implicate subject matter jurisdiction. Shors, 581 N.W.2d at 650; see Holding v. Franklin County Zoning Bd. of Adjustment, 565 N.W.2d 318, 319 (Iowa 1997). This is because the exhaustion-of-remedy doctrine does not preclude judicial review, but merely defers it until the administrative agency has made a final decision. See 2 Am.Jur.2d Administrative Law § 505, at 491 (1994). Our legislature has given the district court subject matter jurisdiction to act in response to challenges to decisions made by administrative agencies, but requires this authority to be withheld until any available administrative remedies have been exhausted. Shors, 581 N.W.2d at 650; Iowa Code ch. 17A. Thus when a litigant requests judicial review before exhausting administrative remedies, the district court merely lacks authority to entertain a particular case. This is the type of challenge that can be waived. The county claims the exhaustion requirement has been waived because the DHS consented to litigating the issues in the case in district court by intervening in the proceeding. It asserts the consent extended to the original declaratory judgment petition, as well as the subsequent cross-claim. Additionally, the county claims error was not preserved by filing a motion under rule 179(b). An intervenor must typically accept an action as it exists at the time of intervention. See 59 Am.Jur.2d Parties §§ 173, 174, at 672-75 (1987). Thus, a party who intervenes in a case in which the court has subject matter jurisdiction, and asks for relief, waives any challenge to the authority or jurisdiction of the court over the particular case. Morse v. Morse, 247 Iowa 1113, 1122-23, 77 N.W.2d 622, 627-28 (1956). However, an intervenor is not prohibited from advancing other claims and defenses appropriate to the case following intervention. See 59 Am.Jur.2d Parties § 174 (1987). In this case, the cross-claim brought after the DHS intervened raised issues well beyond the original proceeding, and changed the complexion of the lawsuit. It targeted the DHS and sought relief not included in the declaratory judgment. This permitted the DHS to challenge the cross-claim, including the authority of the court to hear it. The intervention did not constitute consent to any jurisdictional defects in the cross-claim. Moreover, any consent to the authority of the court to hear the original declaratory judgment action established by the intervention of the DHS did not affect the ability of H.B. to raise the issue. Finally, we disagree with the county that H.B. and the DHS were required to file a 179(b) motion to further preserve error. A motion under rule 179(b) is necessary to preserve error only when a court fails to resolve an issue properly submitted to it. See Bellach v. IMT Ins. Co., 573 N.W.2d 903, 906 (Iowa 1998). The exhaustion issue was raised in this case and decided by the court on summary judgment. Furthermore, the district court specifically found in its final ruling there were no administrative remedies to exhaust. Accordingly, we find the claim of error was properly preserved.