capquest court papers recieved

Hi guys I really hope you can help, bit of a long story but here goes,

I took out a credit card with cap1 in 2004, in 2008 I lost my job and tried to claim back charges on my card and was offered £200 of around 700 plus interest I declined this offer.

at the same time I defaulted on my payments and the debt was passed to capquest

I informed capquest the debt was under dispute they investigated and passed the debt back to cap 1

cap 1 then sold the debt back to capquest

capquest have been hounding me for payment since Jan 09 and I just keep responding with the alleged debt is under dispute

my last payment was in april 2008 the default was served in may 2008 so I assume since I have made no further payments nor acknowledged the debt it should be statute barred?

I recently received a letter from drydensfairfax solicitors threatening court action if I did not pay and on Oct 6 received court papers from Northampton

I have acknowledged the court papers online and said I intend to defend all the claim £934.82, I just need some advise on wording as I would like to defend on two points 1, the debt has always been under dispute and 2 it should be statute barred

thanks in advance

capquest court papers recieved