We are renting a home that is in foreclosrure.. what rights as tenants do we have in the process?

My wife and i have been renting a home in the suburbs of cleveland, ohio for about two years we were leasing the property yearly for the last two years then all of a sudden when it came time to renew the lease the landlord wanted a mont-to-month (red flag) so we agreed because we love the community and the good school system for our children so since january of 2010 we have been paying our rent as agreed.. next thing we know the landlord says that she may be selling the house so we said we may be interested in buying so a few more months go by and then she sends a letter stating that she will be putting the house on the market and the letter basically states that if and when she sells the house we have 14 days to vacate.... so of course we had questions so while trying to explain a "short sale" process to us as way to buy the home she said that the house is in foreclosure and she had to sell this way to prevent the foreclosure.. she says shes only 2 months behind but everyone else has said if shes trying to short sale the house then she is further along in the process then what she telling us.. My question is..didn't she have a legal and moral obligation to let us know the house was in foreclosure instead of not telling us and allowing us to pay rent still even though she wasn't paying the mortgage since we believe february or march of this year... do we have to sign the paper for her? can we be evicted if we stop paying her the rent since shes basically just pocketing the money now... what rights do we have if any under a month-to-month lease?