Does she have sores or wounds on the nose?
This is a tough question. Dogs are programmed to show deference to their elders and those in the pack who are more powerful than they are. And this definitely applies to their people, too. He's showing you that he holds you in great respect and that he does not plan to harm you.
Dogs do this in different ways. Some will squat and release a little urine. And others will start to lick.
The best thing you can do about it is realize what causes it. It's not a bad thing, but it can still be annoying.
I would engage his mouth during these encounters in a different way. You can use small cut up pieces of chicken and tempt him to eat them. Or do tricks for them. You can offer him a bully stick and let him chew. What you're trying to do is take his attention from his anxiety and put it on something else.
If there are wounds on the nose or it seems to be dry, you can use some "bag balm" on the nose to lubricate and protect it.
I hope this helps!
A wanna-be dog whisperer once said to grab the back of the neck - or between the shoulder blades or to push my finder tips into her shoulderblades to show I'm "the boss." This works for about 2 seconds :)
I've tried grabbing her tongue, pinching her lips together, holding her jaw shut...
Also, maybe allergy related, but them formed into a major habbit?
If you think of anything else, please let me know! Otherwise, thank you for your time!
Grabbing her or punishing her is not going to help. She's doing it to show you that she's beneath you. So, you scolding her is probably making it worse.
These things CAN become habit as well.
I have had a great deal of success with a product called homeopet (www.homeopet.com). It's a natural product that has an anxiety reliever. You can also give that a shot.