Term limits won't change any of that - and it will be difficult to draft policies that would prevent someone in the family from running. Besides, even if you have term limits, it'd be just as easy to "anoint" someone else as the desired candidate.
Frankly, I don't see adoption of party politics as the solution either - you're basically trading one form of perversity with another.
Agreed - if anything term limits would make the situation worse. But I'll take a baby Holyday over a twenty-term Mammoliti if that's what it takes.