I'm with your neighbour 100%. I'm currently in a minor disagreement with my neighbour because he does not want to replace our shared fence that is 20 years old and literally falling down. There is nothing you can do to compel a neighbour to put in their share for a fence if they don't want to.
Did your fence need replacing? If so, then you owe him some money. Obviously he should have talked to you first but WTH are you complaining about? I'd be over the moon if my neighbour handled all of the hassle of making a fence appear between our yards without me having to lift a finger. It can't be hard to work out what materials cost so pay him 50% of that and throw him a little something for his time as well. You should probably include a note of apology while you're at it.
Until you fix that, I say good on this guy for finding ways to screw you over, although I'm sure he'd just be happier if you paid him the money you owe him.
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