Are we REALLY horrible people for not going where our daughter isn’t welcome?

My fiancés sister is pregnant! Her first!!! Her shower is coming up in October and earlier this week she told us no kids are allowed, excluding my daughter her niece. My fiancé and I told her that since that’s the case we can’t go when our daughter isn’t welcome and we also don’t want/expect anyone else to watch our daughter. Pregnant sister said that was absolutely fine she understands but the other sister is causing a BIG fight between everyone. Telling us how fucked up it is we refuse to go, we need to face it our kid can’t go everywhere with us, making up lies saying that I’m telling their step mom my daughter can go but her granddaughter can’t. Once I said no in the first place, she goes behind my back to my fiancé trying to get him to agree to it which he kept repeating we will not go! I am absolutely frustrated and so overwhelmed.

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