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Secured CC & SOL

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I being sued by Cap 1 for a secured CC I haven't made a payment on since Sept. 2002. I live in California and know the SOL is 4yrs, however Cap 1's atty sent me a copy of two statements for March and April 03. On the March statement it shows the acct being charged off and my security deposit being applied to the debt. The atty says this was a payment, however, I was still charged a late fee on that statement even tho that "payment" was applied before the due date.

I have a court hearing on June 12th. Any help as to the next step would be greatly appreciated!

Thanks :)

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