Thing is when I moved into my condo my neighbor told me all about it.She uses it to keep neighborhood pets from peeing in her garden but is well aware that it could kill them.This was before I got my dogs(I didn't agree then)but she still uses it
now seeing I have dogs.I stay busy in the summer keeping them away from her garden.
This is not right but some home owners have resortd to this method because some pet owners have no care for the time and work that people put into their garden and don't appreciate irresponsible owners letting their pet trample and pee on their work.(like I said its wrong and I would never do that,but I have been angry because a neighbor let their dog pee on my flowers and them it attracts all the animals in the area passing to mark.Its a mess.
However if a owner knows this mulch is toxic and still uses it in an area where animals fequently pass I think they should be held legally responsible.Although frustrating it is not illegal for a dog to pee your grass.