Yep, I would have at least circled the neighborhood to give’em time to leash the dog. I had to shoot a big dog someone dropped off because he would have killed my little Cavalier if he chewed on her anymore. Guess who happened to pull up lol. The officer was cool and wrote up a report in case the owner came around, after he looked our dog over. Been a month ago and still bothers me but I couldn’t get him off of her.1) I've had that exact same scenario happen 100 times. Who hasn't? You just keep walking and the dog goes back to playing with the kids.
2) Yes, in that scenario I would take a few bites from the mutt before I shot my gun in that area.
This isn't a savage wild animal we're talking about, it's a 50lb (if that) mutt that you just saw playing like a big goofball with little children.
A grown adult man handles that situation without drawing his gun 100 times out of 100.