pulling it out was definatly the correct course of action, when it goes white it is in the process of dumping all its contained nutrients that it has absorbed over the course of growing back into your tank. caulerpas tend to go sexual when they are kept under on/off lighting, I have not witnessed any caulerpa go sexual under 24hour lighting like in my sump. in tanks it can be problematical if it happens when your not around, by the time the caulerpa looks clear the majority of the nutrients are back into your system, the best ways to avoid problems with caulerpa going sexaul are, keep it pruned dont let it gow wild, 24/7 lighting if its an option (obviously not for display tanks but great for sump/fuges), only allow it to get to a ceartain size so if it does go sexual you only have to worry about "X" amount of nutients getting returned to your system.
