Should I feel obligated to have my granddaughter stay the night at my 7 yr old daughters bday party?

I have a 5 yr old granddaughter that is very wild and very much a handful.....almost . I love her very much, but my 7 yr old daughter was having 5 girls from her cl stay the night for her birthday. I told my oldest daughter that I would have my granddaughter stay the night w/ us the next week-end, but she insisted on coming to the party. Well she was crazy, chasing and attacking all the girls at the party and it was very wild. 1 or 2 of the girls did seem to think it was fun, but my 7 yr old and the other girls didn't like it. My granddaughter threw such a big fit when it was time to leave because she wanted to stay the night that I told her I didn't think it was a good this night, but maybe next week-end. My oldest daughter got really mad & kept saying "If you don't want her to stay the night then just say so." I finally gave in & said let her stay. Well, just as I thought, it was "grandma come her. grandma can you do this & that." Which would normally be fine, but it was my 7 yr olds birthday & I could barely watch her open her presents w/ my granddaughter around. I didn't think it was fair on her birthday. My oldes daughter doesn't realize what a big age gap there is & that I wanted my 7 yr olds party to be special, not spent catering to the 5 yr old all night. She ended up crying & wanting to go home around 3AM..... Am I right or wrong for doing this?? I don't want to be the mean grandma....