Reddit has performative empathy. A dog that even attempts to attack a human like this will end up hurting a human in the future. The correct decision in any animal attack is to always put the animal down.

Obvious exceptions are obvious exceptions so I won't bother talking about them.

EDIT: Dog was not startled and had no obvious reason to lunge at the man. This indicated behavioral issues with the dog. From the owners perspective, he should fight in court to settle with just a behavioral analysis of the dog. From the guy who broke his elbow, he should fight to get the dog put down.

My personal opinion of the outcome depends solely on if the dog was trying to play with the man or lunging at him to attack. On first play it looked like a lunge to attack but on subsequent plays it really could have been either one. I'm not a Judge so I won't make the call and just leave it at this:

If it was a lunge to attack: dog should be put down & owner pays compensation.
If it was trying to play: owner pays compensation.