Thanks for the advice guys, much appreciated. Sorry this took so long for an answer but professionals were consulted (a psychologist whom consulted with three of her colleagues, all of which were child psychologists)and if any of you are curious to what they had to say here it is.
Across the board they all agreed that if that father is NOT involved in the child's life in ANY WAY (this is different from having a bad relationship with a father)it is in the best interest of the child & healthiest for her mental well being that none of the fathers family members are involved either. It was explained that she will have a hard enough time growing up without a dad but to try and make her understand her dad isn't around but dad's mom is a) will inevitably confuse her greatly & rob of parts of her childhood/be forced to grow up faster than is healthy & b) put a huge highlight on the fact that her dad doesn't want to be around. The constant reminder is not good for her mental health.
Thanks again for the tips but I am glad that my friend sought professional advice as everyone has their own opinions on what is best.