Dysfunctional families & baby

La
Ladies, I need advice. My husband's family is VERY dysfunctional. He was raised by his grandparents, because his mom was a coke addict growing up. She's fine now, but he has three sisters and two of them are crazy. One of them had her daughter taken away for an attempted suicide, she moves constantly from place to place and job to job, and is now hung up on dating prison inmates. The other sister is dating a drug addict and a wannabe gangster and she doesn't pay any attention to her children. 
We got home yesterday from the beach and his mom called exactly an hour later crying, telling us her sister (his aunt) drug up old affairs and made her look like crap in front of her grandchildren. The adults will bad mouth the kids' parents in front of the kids, who are plenty old enough to understand what is being said. 
We went last night to visit his six nieces and nephews at his moms house and it was just choas. Kids constantly fighting and getting attitudes with adults...one of his nephews is so out of control we are scheduling a tour of the jail and scared straight program for him this week (he's 12 and we are both in law enforcement and can set it up). 
On the way home, my husband said he's almost afraid to take the baby around his family once it's born because they are so dysfunctional. I agree. Anyone been in this situation before??