Sounds unlucky. I have just requalified for Gold but don't have my card yet. Explained to lounge attendant at T5. She took my silver card, looked up on the system, all was fine.

In terms of the family upgraded, am not sure what you expected? For them to be downgraded again once it was clear they were a bunch of screamers? Definitely frustrating, without a doubt, but it sounds like you were unlucky again. You never know, they may have been GCH as well.. I know a few families where all members hold status (including infants - it does happen!)