Relationship turning sour with in laws?

My mil is a very dominating person. She thinks only what she says should happen. She thinks too high about herself. She thinks she is most beautiful, most intelligent and knows everthing. Not even my fil tells her anything as he once confessed to me that she has become mentally sick after her long duration of hormone and sleeping pills. So he takes good care of her. She does absolutely no work, except watching tv. I had a good relationship with her till my daughter was born. But after that it turned sour because she doesnt like me taking her to my moms place. It is impossible for me not to cos my parents have only me. My mil has 3 children and 3 grand children and she is so inconsiderate to my parents. It is selfishness. Having this is mind she finds fault at the every small thing i do.I want a good relationship with my husbands parents. But do i have to adjust listening to what she says? She has a elder daughter in law who is very cunning and pretends to love her. She coolly does what she likes but pretends to listen to my mil. I am sure she adds fuel to fire by poisoning my mils' mind. Though of late my in laws have come to know of her real nature, when my mil picks an argument with me she gets close with her. Luckily i have a sis in law who knows well about the elder one and exposes her to my mil. Anyway me and my husband are planning to get independent and move out. But even then i want to be at good terms with my in laws.