Property Manager Lawsuit

[Account Closed]

I had a property manager who was hurting my business. The girl I had been working with had gotten ill and I had to make a quick replacement, properties are in another state. This new manager seemed ok at first but let 25% of the houses go vacant. She mishandled information and sent me other people's confidential information because she "wasn't paying attention." I also had many accounting errors in my statements. Many of the tenants said she had mistreated them and I received information that she was abusing drugs and alcohol. Long story short, I went to town that month and interviewed three other people in person. I got all my information from her and fired her on the spot. Now a month later I get word from her lawyer that she is suing me for breaching the contract of 60 day notice. It is obvious that an immediate change had to be made. What are my options here? I have other people's account information that she wrongfully sent me and I can prove accounting errors. The rest is just allegations from tenants and people from the community, etc.