I dunno guys, I know we're all really just trying to make EngrSC feel better about the crappy situation she's in (I'm sure this is like the worst nightmare for anyone who's been responsible for a spooky/nervous but not a mean dog). I sympathize 100%. And I know the lady involved sounds like she's getting a bit litigious, which isn't very nice... but I think she's totally entitled to be angry about having gotten bit. Maybe it was just as much this lady's fault for spooking the dog as it was the OP's for not seeing it coming or whatever (and I'm really not trying to start a fight here, I don't know and don't really care to know whose fault it was because it just sounds like a lose-lose freak accident if anything)... but this lady went out to go on a nice jog on public property and ended up getting 5 puncture bites from a big dog, where two of them ended up needing stitches. I'd be pretty pissed if someone's dog bit me in the thighs even though my thighs are prob like the ugliest thighs in the world. I'm also not sure that it's fair to say she deserved the bite for being stupid by not announcing that she's passing.
Also, EngrSC, for your sake it might not be the best of ideas to post the picture. If she's thinking about suing you, and she finds out somehow about what's been said on this public forum, I think that's quite the ammunition to demonize you. I can't imagine it going too favorably for you if it turns up. Maybe that's just me being paranoid... but as I understand it, it's just prudent to not post things publicly about anything that may end up in court.