Did my landlord break the law?

By Shirley Jones

My significant other and myself just recently moved into a home we found for rent on Craigslist. We both rented out our respective homes to live together with our children. This was a huge decision for us to combine our famillies but we were very excited and so were our kids.
The landlord wanted to have a month to month agreement, we askled for a lease but she said she would prefer to do month to month because she will be moving back someday. We Expressed we were looking for a place to be long term to raise the kids through middle and highschool and she indicated that there would be no reason that couldn’t happen as it wasn’t probable that she would be back for at least 6 years. 2 weeks after we moved in, we found a notice on the front door that the house would be going to auction in 120 days. The landlord was 3 years behind on payments!
We are devestated knowing we will have to move our children again and could potentially have to evict the tenants in our own rented houses.
Did my landlord break the law by not disclosing that the house was in default and foreclosure? Does this make our retal agreement null and void? Do I have to pay rent for the next 120 days? We tried to work out reasonable solution by reducing our rent and letting her keep our deposit for the next 120 days and she is being extremely greedy and saying there are a line of people that want to rent the house so we better pay. I really doubt that she would get anyone in this house if they new they only had another 120 days to live there!! What can I do?

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