How badly was she injured by the dog bite?
Do you believe that she lost her job because of these injuries?
no she did not lose her job, due to injury. she lost her job like 6 - 8 months after the incedent. She had a small gash to her nose
Under Hawaii law, you as a dog owner are not liable for any damages caused by a dog bite where the dog bit the person injured "as a proximate of being teased, tormented, or otherwise abused". Becuase your neighbor stepped on the dog, you fall under this exception, as the injury would not have happened had she not been careless and not stepped on the dog.
Accordingly, you are not liable for the injuries and she cannot rightfully ask you to pay any of her bills. You've already done much more than was required of you and now she is asking you for money to which she is in no way entitled.
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