To me, the really grating thing is how you need to change people's names sometimes, like in "the Williamses' house". It just seems very wrong to change an identifier as important as a personal name like it's just another malleable word.
i don't know if someone responded already, but this is wrong. if a family's last name is "Williams", you would pluralize it as either Williams' or Williams's (although they could both be PRONOUNCED as "Williamses"). "Chris's pants" and "Chris' pants" are both correct in all situations (it's a regional usage issue)
i think most people here seem to understand that apostrophes are correctly used for both contractions and possessives, with "its" (possessive) being an exception. however something that a lot of people get confused about is plural possessives and exception words. here is an example situation:
there are multiple carpenters working with multiple wrenches-- "the carpenters' wrenches". there is only one carpenter working with multiple wrenches-- "the carpenter's wrenches". there are multiple carpenters working with one wrench-- "the carpenters' wrench". there is only one carpenter working with one wrench-- "the carpenter's wrench".
(exception to the above rule: always use children's, never childrens'. another example of this is "women's rights".)
so basically, horse's and horses' are both correct but in different situations. you can't say "the horses' hooves" when you're only talking about ONE horse.
i love grammar and i know a lot about it, but i do purposely defy certain rules because i think they should be changed. even though i don't always put my commas inside the quotation marks, i still know that that is what is "correct". however, i think that the rules for using apostrophes are pretty reasonable.
let's turn this into a grammar thread! i want to talk about commas and semicolons and stuff...
p.s. i recommend that everyone read the book "Eats, Shoots and Leaves" (although keep in mind that it follows British grammar so not all things apply to American grammar that many of us are used to)