Did they file that paperwork with the court or just say if you don't respond they'll file it with the court as is? Do you have an attorney? Sounds like since she's reaching for the stars that you will have a hard time acheiving much compromise.
If possible try to circumvent the attorneys. Talk it over like adults. Getting lawyers in the middle will only make it harsh and painful.
In the end, it's not the years in your life that count. It's the life in your years. Abraham Lincoln
It is hard to fail, but it is worse never to have tried to succeed. Theodore Roosevelt
