Wow I'm shocked and saddened by some of these responses. My dog is my baby! I'd gladly and happily pay any amount to replace chickens and freak right out if she was filled with birdshot or worse, killed, over a chicken. I'm appalled that many would just shoot because you have the right to. A feral dog, coyote, wild cat...no problem. But someone's PET? 
 When we moved from the city to the country we asked the old timer next door to PLEASE not shoot our dogs, we would gladly reimburse him any losses if we could not break them of chasing calves or bothering his chickens. I hope you can work it out with the owners and it doesn't end in such an ugly way.