My neighbor intercepted a private phone conversation on her baby monitor and has taken the information she heard and used it to create a hostile living environment for my family. She has admitted that she has listened to at least 2 conversations and does not feel that she has done anything wrong because she was listening on her monitor.

The conversations that she overheard did contain negative statements about her and her husbands lifestyle and dirnking patterns.

She has now made it her mission to discredit our family, say that we are the "Devil" and we are pathalogial liars, terrible parents, and we need to prayed for to save our souls.

Not sure if I have legal grounds for Invasion of Privacy or Wire Tapping. Need some advise.

It doesn't seem like she intentionally tried to listen, but baby monitors can pick up conversations, especially on cordless phones. There probably is a warning somewhere on the phone instructions that they can be picked up.