Legal Question in Landlord & Tenant Law in California

need advice

We are renting a house with a year lease (1/1/10-12/31/10). We paid every month's rent except in August we sent her two checks one for $900 (which was cashed) and the other for $300 (which we put a stop payment). We came home one day and there was a notice on our front door that states this house is in foreclosure and the auction date is scheduled for 12/11/10. So noticed she had not cashed our check for $300 so we put a stop payment on it and called her asking what is going on with the house. She never reply so I sent her all the paperwork that has been coming in the mail. She finally sent us a text stating not to pay rent due to the foreclosure. She stated in the text that we might have to move by mid October. She never said we would have too. We contacted her again to find out if she has heard anything and she replied that we need to have all our stuff out by the end of this month (October). We asked why she is breaking our lease agreement and she states that we broke it because we have a dog. No where in our lease agreement it states that we are not able to have pets. Is she legally able to kick us out by October 31st?

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