Great News!!!
I took LuLu and Maxx to the local vet and they are both healthy! I am so pleased... Maxx does have to have a few teeth extracted due to rot - but other than that a clean bill of health. We are letting Maxx get use to his new environment before doing the extraction - and I will wait until after his dental procedure before I get him to a groomer. Maxx is still spraying a bit but it is getting less and less everyday, he also has calmed down on his humping LuLu as well. He is becoming more trusting and has actually starting jumping up on my leg to get up. I have seen huge changes in him over the last few days and I don't think it will take long to get him to a happy normal state.
LuLu had no health issues at all and her teeth are good. On top of that my vet said she was not 'over' bred and was not 100% sure if she was pregnant - but said we would soon find out. LuLu is happy as a clam and is not timid and shy like Maxx (I think she got more attention in her last home)
My vet felt so bad about the whole situation she actual cut me a deal on the vet visit (which included shots) and is doing Maxx's whole dental procedure for only $150. I am over joyed. With the medical out of the way I am very relieved, now I can just focus on getting these pups to a healthy mental state!
Regardless if I was ripped off or not I am overjoyed with my 2 new family members and can see a very long life them. The whole family (even my husband) is just in love with these 2 dogs!
I will post pictures soon.