Hello.
The default sort order when database collation wasn't specified or was specified as OFF is
LUTZ, JOSEF
LUTZ, JOSEF ANTON
LUTZ, JOSEFA
because this is how java.lang.String.compareTo() works.
If database collation was specified, for example, as EN, the sort order is
LUTZ, JOSEF
LUTZ, JOSEFA
LUTZ, JOSEF ANTON
because this is how collators (java.text.Collator) work and strength setting doesn't affect this order.
H2 doesn't provide possibility to add own rules to collators, so this behavior cannot be currently changed.
H2 also supports collators from third-party ICU4J library, but I never used it and I don't know how these collators work.
Don't try to use CHAR / CHARACTER / etc. for variable-length strings, these data types can only create additional problems, they are suitable only for fixed-length strings.