My husband has 3 kids (7,7 &

with his ex wife and they stay with us three nights a week. I always tried my best to get along with their mum, although I have never really liked her much - she has a tendancy to take the piss big time (one memorable incident being when she got him to come over to help her clean up after a party she'd had - the mess was 'too much' for her to deal with alone. We hadn't been invited to the party.) Anway, just after Christmas, my OH had to have a word with her, because she'd gotten into the habit of leaving the kids alone while she went out drinking. She went what I belive is techinically refered to as 'bonkers' - swung for my OH whilst screaming seven shades of blue murder at him. When she calmed down, she agreed she'd 'allow' us to look after the children on the nights she wanted to go out.
Anyway, a short time after that, the kids started getting really funny about me and my husband hugging or being affectionate towards eachother in front of them. This is something they'd always done to a certain extent before - groaning if we get too soppy or lovey-dovey etc, but nothing like this. Can I just point out that my OH and I have
always been very smoochy and cuddly with eachother, and we have a fantastic relationship. When we asked them what the problem was, they told us their mum - blatently in response to what she saw as our 'interference' - had asked them if we did anything they didn't like while they stayed with us. They had said no, so she'd asked them what they'd stop us from doing if they could!!! I thought it was a bit wierd, but didn't really think too much more about it. Until we got a letter from her solicitor. I kid you not.
Basically, she alledged that our inappropriate levels of affection towards both eachother
and the children are having a detremental effect on their mental health. Seriously. Our solicitor laughed out loud when she read it. Surely children can only
benefit from being exposed to a happy, stable, loving relationship??
Anway, to calm the kids down we agreed (begrudgingly) to try and tone down how we are with eachother - something I was more unimpressed about. Basically for the last month or 2 we've not been going near eachother when they're around. But now, apparently one of the kid's cousins saw us in a restaurant yesterday and mentioned to the kids that we were holding hands across the table - so, yup, you guessed it - this is now a major issue. The Ex Wife From Hell has asked us in no uncertain terms, to stop any public displays of affection, in case anyone who knows the children sees us, to save the children any 'embarrassment'. Oh. My. God.
I'm normally quite a relaxed, laid back person, but PLEASE someone tell me I'm not alone in thinking she is insane!!!!!!