What are the ramifications for my wife and I at this point? Can I be sued?

It really depends on what the prosecutor files if any

Can this all happen without given a chance to defend myself, is it too late to defend myself on this

Sounds like you dropped the ball somewhere. If you had sufficient insurance and filed a claim after the accident this would not occur. Now only an...

Can he sign the contracts to sell the house?

Once the estate is closed or when the court approves his request to sell. Not before.

What does he do to terminate child support for this child who is not his?

Take the test to state officials who imposed the support on him and tell them to get off their ass and terminate the order. If they won't then hire...

What are my rights on paying rent in this situation?

You should have inspected the premises before entering into a lease. Buyer beware. You've lost your leverage now.

Is this really the way insurance works?

Depends upon the policy. Each company and each company are slightly different. Far too often insurance agents just sell and don't explain.

Like a speeding ticket it is only against the rules when someone catches you and files charges.

I am a Loan officer with a client who is a Trustee for his mothers estate. he is a Grantor from what I can see from paperwork

No question asked. Sorry no response possible.

Can I sue my caseworker?

Likely not worth the expense of a trial.

Advice on mediation in family court

Prepare a mediation brief to give the mediator a summary of the parties and issues.