I guess I get what you mean about the ethics thing. His pets are roaming around unsupervised, and attacked people in their own home. Probably more than enough to work with for a lawsuit in our world, even if it was clear to the lamia girls the wolves weren't trying to cause any serious harm. But there's also been situations that seem similar to that happening to him and his little village that ended with both sides agreeing to let bygones be bygones, so let's just consider it part of living in this area that kind of has an ominous name and all.