Yep a dog on its owners property is a pet, a dog on someones else's property is a predator. That is the way it goes. You do have the right to protect your livestock (used to be a hanging offense not too long ago/horse thievery) Your nieghbor is trying to buffalo(bully) you by telling you that you cant do a thing about it. A 12 ga. shotgun with 00 buckshot will solve that problem, and the neighbor too if he attempts anything stupidly, unhuh.
Jeff
Jeff