I'm not a child lover - i find it just as irritating when a child is allowed to run free, get under my feet, pick things up, cry uncontrollably and when parents don't have control on their kids. I know that's opening a whole other can of worms.
Haha a brave statement - wait for the backlash
I have two dogs, both of which are as you say chipped, insured etc etc. I also walk them on beaches and in areas with these leash signs and I dot walk them on the lead. I do try to avoid people as much as possible just in case you get some odd git who moans at you. This woman is a busybody and you get them - fact of life. Continue walking your dog as you do and let her rant and rave....loons everywhere If you are ever approached by the dog warden (highly unlikely) tell him that the dog slipped the leash and you were trying to get it back on to him! very hard for him to prove otherwise