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Answer: What's your relationship with your mother-in-law like? If you have a good relationship, you might be able to suggest she return the dress she's purchased or wear it to a different wedding event, such as the rehearsal dinner or post-wedding unch, depending on why it's inappropriate (or have your soon-to-be husband or future sister-in-law do it).
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But ides-to-be, take note so you can avoid this awkward situation. Talk to both your mother and mother-in-law well in advance of any dress shopping. Talk about what colors the wedding party will be wearing, which color you envision them in (as well as what colors they like, of course!) and the formality. You can also discuss if you're comfortable with either of them wearing white or black, which traditionally show competing with the ide and mourning for the wedding, respectively. For some, those are antiquated ideas. Your moms don't have to match, but they should complement each other in terms of color and formality, as well as the rest of the wedding party.