Discuss this with the attorney you retained as to their rationale for going forwards, the advantages/disadvantages of staying the proceedings etc.

They are offering you a return of 18.5 K on a 40K job. So there is only 21.5K at issue and you estimated their cost at 14K. So there is only 7.5K...

Get family lawyer involved as moving the children out of State may have been a breach of the order in addition to other breaches you reference.

Even if you started a small claims lawsuit, without their address you will be unable to serve them with papers.

Damages per your post may be inadequate to justify the expense of an expensive malpractice lawsuit. Call local malpractice counsel to discuss and...

Have a serious discussion with your counsel to understand the basis of such a small offer. It may be due to limited coverage or other factors...

Get the relevant records to local malpractice counsel to review to determine if there is proof of the departures from accepted standards of care...

There may well be a case but without a review of the records and imaging studies and knowing what other residual injuries were suffered it is hard...

Under what theory of law would they be precluded from sharing this information? Unless they shared false information I do not believe they violated...

If there were departures in your medical management that caused injuries which economically justify a malpractice lawsuit, seek out local...