Legal Question in Real Estate Law in California

You need to address these issues in Court when you are sued. You might try filing a lawsuit or opposition when they take their next action based on the invalidity of their claims.

If the HOA's "next action" is to foreclose by trustee's sale, filing a lawsuit or opposition may perhaps not be appropriate or timely. I'd suggest maybe hiring an attorney with experience in HOA-related disputes to accompany you to a (prearranged) meeting with the HOA's top officer with full knowledge of its dispute with you, to get a clear idea of (a) why the HOA thinks its past, present and proposed future actions against you are proper, given its suspension and all the other facts; and (b) what arrangements can be made to settle your differences with the HOA, past, present and possible future, that is both within your means and satisfactory to the HOA. In sum, I'm recommending that you try to work out the problems short of court or a trustee's sale, and that you do it with a professional advisor by your side.

The issue of them being suspended should have been raised when the lawsuit against you was filed. It may be too late to do anything about it now, but to be on the safe side, I suggest having an attorney review it.