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You can say you deny liability and that you are happy to have a court decide.
You can say that in court you will show that she was unfair and dishonest from the start, never showed you the damage and never allowed you to mitigate your damages if indeed this was your fault. If you had been show that this was your fault you could have made all the necessary repairs so that you would not be liable for as much in the way of damages/
If they do serve you with a claim then you should immediately report this to your insurers.
I am sorry this happened to you.