Spidey, I've been through this myself, and it is VERY difficult to sit by and watch...and a baby makes it all the more difficult. One thing I would suggest, is to keep your communication open as much as you can. She will need you, and I'd hate for you to regret not being there if you want to. I dont know how close you two are, but I think it'd be worse if she were all alone in such a relationship.
I'm not suggesting you or your family keep quiet about your frustration and fear, but ultimately it is her decision and there isnt anything you can do, except avoid him and be there for her and the kid....and it's a very high wire to walk.
Seriously hoping it works out for the best for her and you.
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PRS