is Max just a puppy ? He has figured out that when you get your shoes on your going to leave... he may also be just playing though. My Yorkie loves our shoes... He needs to be distracted with something else and taught not to do these things.
The 2 yr old is what I am concerned about. You will need to keep your dog in anther room when the baby is around. If your dog is this possessive with his toys, a little child will not understand. 2 yr. olds are the same with their toys. Do not have them together, or take the chance of your dog biting.
I love my puppy very, very much. However, if she were aggressive, I would never have her around a baby... The 2 yr. old comes first, and the safety needs to be number one priority.
