I actually loved the movie! :D
I thought it handled some pretty serious issues in a unique way; and the whole bohemian/indie-lite feel to it was a welcome respite from some of the other high octane dramas which came out during that season.
It was incredibly comedic at times (the loud male gay porn scene, to name but one example) and yet deeply heartfelt.. All the characters seemed fully realized, and their dynamics were nuanced/believable.
@Shri: I didn't take the title as being an objective commentary on the state of the kids. To me, the title actually sounds more like what one of the mothers might say to the other (e.g 'the kids are all right, dear' or 'oh she's off to college now.. we were good parents weren't we? our kids seem to have turned out all right'), and by extension the emphasis of the movie was on the mother's relationship with each other, and on parenting, and on the intangible qualities that make a family a family (imho).
@Easy Seasons: I could get why Annette's char could forgive Julian's char.. J was portrayed as a something of a slightly ditsy under-achiever who nonetheless apologized for her mistake. A, being her intellectual superior, was able to forgive her because she realizes that J is limited in certain ways (as is A herself), but that J is genuinely sorry and still loves her. She made a (huge and hurtful) mistake, but she's a human being.. To err is human, to forgive is divine.. Or something like that. :P