What you've described is what can be classified as the personal injury
of "abuse of process". Generally, people are allowed to avail themselves to the remedies available in court. However there is a point where claims become so outrageous and unfounded that the defendant can bring a counter claim for "abuse of process". "The test as to whether process has been abused is 'whether the process has been used to accomplish some end which is without the regular purview of the process, or which compels the party against whom it is used to do some collateral thing which he could not legally and regularly be compelled to do.
In its most basic sense, therefore, an action for abuse of process is intended to prevent parties from using litigation
to pursue objectives other than those claimed in the suit, such as using a court's process as a weapon 'to compel [another party] to pay a different debt or to take some action or refrain from it. It is the use of process to obtain this 'collateral goal'-a result that the process itself was not intended to obtain-that is the very heart of this tort
. The essential question to be answered concerning the present claim, therefore, is whether the use of process to discourage the other party from continuing the litigation is a sufficiently 'collateral goal' to give rise to liability.'"
What this all means is that you can have a claim against this person if you can show this litigation is for some 1) unfounded/untrue reason (i.e., you show the claim is frivolous) and 2) for the reason to harass you. I fear that unless you fight her back, this will occur into the indefinite future.
You should look for a genera litigation attorney in your area to pursue this. The problem you are going to have is you'll have to pay an hourly rate to sue her, using an attorney; that's costly and out of the budget for most people - litigation is expensive. And, the second problem - even if you win against her and get a money damages/judgment - is there anything you can actually collect from her to recoup your costs? These are the practical problems you are going to have in this matter.
This, is the best I can advise at this point - you'll need to decide to 1) sue or not to sue her for abuse of process, and 2) get a lawyer or attempt to represent yourself.
Hope this helps. Let me know if I can be of further assistance. Thanks