If you want to keep any kind of neighbor relations I would dispose of the cat humanly and keep your mouth shut. This neighbor is not going to accept the responsibility for the cat getting out. He will blame your dog even though it happened in your yard. They may very well retaliate by doing something to your dog. You need to keep your dog safe. I would not leave the dog in the yard unsupervised for a while.I do feel awful - they have put up fliers looking for the cat and obviously their kids are upset. Please help! I can't stand the idea of Boomer being taken or killed, but I want to do the right thing. What's done is done though, right?