This makes me scared to report any suspected abuse for sure! If you can't get a lawyer yet, can you represent yourself? In your appeal, ask the judge to provide you with reference as to where the information is stating you need to be certified to report any suspected abuse. When you sue the family, sue for lost income because of the closure due to emotional distress. It would be very hard to work after you were fined for just doing your job. Maybe you could just take a break for a while and reopen (just would hate to have you loose your house)? Then if you're just done with daycare for sure, make long term career changes. There are wonderful families out there. It's too bad families like this have to ruin it.