Once he gets a judgment, he can then order a sheriff's sale of all your stuff to pay for it.
I recommend filing for bankruptcy, which will stay the civil case (and possibly wipe it away).
You're in a jam for sure. In addition to Attorney Thomas' observation I would add that there are legal aid organizations that provide free legal advice (volunteer attorneys) to those who qualify. An attorney may be able to whittle down the actual debt to something much smaller than $8000--depending on the facts. However, those facts can't be identified until a detailed review of your documents, your statements, and your evidence is undertaken. You need a lawyer for either your defense to the $8K suit or the bankruptcy. For starters, check out http://www.northpennlegal.org/
I am licensed in the Commonwealth of Virginia, answering your query does not create an attorney-client relationship and I AM NOT providing you legal advice. You should speak with an attorney to whom you have provided all the facts, before you take steps that may impact your legal rights--or rights to recovery of damages. I wish you the best of luck with your situation.