It seems your entire defense was based on explain of statute of limitations. You say you motioned for dismissal based on this but did not clearly indicate it was ever ruled upon- though I presume it was denied considering the outcome. Was an explanation offered?

I see the same problem as above. The date the statute of limitations began was not necessarily the date you moved out. When did the landlord discover you had left?

You can appeal and have fees waived, but if you are going to pursue it you had better be certain of the dates and be able to present the argument when the time comes. If you aren't sure, find out from the court clerk if your motion to dismiss was ever addressed.