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Here we have court fees that would outweigh any take home from a law suit, you would be lucky to get any more than the cost of the chickens you're replacing, a judge may see any previous vet invoices just that, previous, so put some thought into your plan moving forward. If the court fees are...

It's not your fault if your chickens (your property in any law I've ever seen stated) were on your land. Whether you were sleeping or not has no relevancy in the placing of blame. Your neighbors dogs should be controlled in some manner so they are not destroying property (family pet/livestock)...