Dear daddysgirl - First of all I have no idea why you are being sued in PA if you live in NY and you should file a motion to dismiss the suit. If you want to have the suit dismissed you should not file any counterclaims since that would be submitting to the jurisdiction of the court.
It is unlikely that any small claims court would hear a tort action such as defamation since small claims is for money damages on accounts or other debts. You can't counter sue for the various monies that you say she took from your father or his estate since those were not your damages and unless you are an attorney you can't represent another's interest in court.
Your best course of action is to make a motion to dismiss and if that isn't;t successful you should defend the suit since it appears baseless. The proper venue for the suit is in NY, not PA so that is the basis of your motion to dismiss.
You can sue her but an attorney would have to represent the estate since you can't represent anyone but yourself in court. Small claims does not hear cases involving torts so you would have to sue her in a general court for that action. Even though she lives in PA the proper venue is where the defendant lives unless you file a counterclaim. That is why I suggested that you not file a counterclaim since that would be submitting to the jurisdiction of the PA court.
You can report her forgeries to the authorities and if the prosecutor wants to accept the charges then there will be a criminal case. This would have to be reported in the jurisdiction where the forgeries occurred.
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