Family Relationships Forum - Mother-in-law problems

Well, this is kind of a long story, so if you have nothing to do at work (like me), feel free to read my book and advise! I am at a loss as to what I need to do at this point.

background story
My boyfriend and I started dating in September of 2005 and became pregnant not too long after that (failed birth control. FYI-don't get free pills from the doctor's office that are expired!). My boyfriend's mother lives in Maine, we live in South Carolina. She is extremely overbearing. One time, she called the cops to come out to our house because he hadn't called her in 2 days. Mad

Our daughter was born in June of 2006 (getting close to her second birthday!).
The first time I ever met his mother was when she sent us train tickets when the baby was 3 months old. It was a 26 hour ride Shocked

For our daughter's first birthday, his mother invited herself to come stay in our tiny 2 bedroom apartment. That is fine and all, but she was bringing her husband, her 2 daughters, and 1 of her daughter's boyfriends. Running total of people staying in said tiny apartment: 7 adults and 1 infant and a dog (one shower, one toilet, not much hot water, etc). The WHOLE time, none of them picked up anything after themselves. I found myself CONSTANTLY cleaning. One day, I had asked my boyfriend to take out the huge mass of trash and to feed the baby after that. I was busy cleaning the kitchen at the time (8 people make a lot of dirty dishes). Well, as soon as he walked out the door with the trash, she turned to me and said, "Does he always think like that?" and I said, "I'm sorry, I don't know what you mean-feel like what?" Well, then she proceeded to say, "Does he always think that he has to do EVERYTHING and that you can't do ANYTHING?" Shocked

I had to get out of there and take a little walk to cool myself down.
So, we haven't seen her since.

current situation
Well, it's coming up on our daughter's second birthday, so of course, we invited her to come down. I sent hotel prices this time, hoping she would get the hint that I didn't want her staying in my house again. Well, she ignored that information and invited herself to stay with us again (new apartment, same amount of space). I reluctantly gave in because I knew it was only for a few days and it's only once a year.

So then, me and the boyfriend get into a big fight and break up. He left the house and everything for a few days. We have since mended things and are trying to work things out so all three of us are happy.
His mother calls him at work this past Friday trying to get him to string me through a long custody battle, telling him to do things he's never even heard of. I'm almost positive she told him to get a paternity test again too (she told him that when she found out I was pregnant but as soon as she saw the baby for the first time, she ate her words). Meanwhile, she is totally bashing me until my boyfriend finally tells her to F-off and hung up on her.

The funny thing is, she had been e-mailing me at work back and forth being all chummy telling me to go kayaking and stuff and asking about the baby.

Today, after hearing that she has been bashing me and hating on me for the last 2 1/2 years, since I became pregnant, I wrote her an e-mail telling her to not talk to me again and that she is NOT welcome in my house ever again. If she wants to see the baby, she can fork out the money for a hotel room and THEN she won't even get to see her unsupervised.

I am just done with her. She is the worst mother in law ever. I'm sure every couple has their mother in law from HELL, but none compare to this piece of work.

Any advice????? Greatly appreciated!