yournamehere

I am one of the most vocal proponents of leash law compliance, but in most (if not all) cases, leash laws do not apply to dogs on their property. The neighbor's dog, however, was not on its property, and should therefore have been leashed. That's all assuming that there is a leash law where you live. They're certainly not necessary everywhere.

Other than that, although I'm glad to hear the issue was settled amicably, it sounds like you're the one taking steps to avoid another incident, instead of the party at fault. Does your neighbor's dog still wander about without a leash? If so, you really haven't resolved the problem. Your neighbor is inconveniencing you in order to avoid his own responsibility.

The gift was a nice gesture, though. I guess it could have been a lot worse. Sounds to me like you're a good neighbor.

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If you want to avoid 95% of internet spelling errors:
"If your ridiculous pants are too loose, you're definitely going to lose them. Tell your two loser friends over there that they're going to lose theirs, too."
It won't hurt your fashion sense, either.