It was perfume and not pepper spray that was used when an argument between two women broke out in Beaumaris, a court has heard.
Lisa Anne Marchant, 49, of Beaumaris, is accused of spraying Kristie Walker in October 2018.
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Ms Marchant has pleaded not guilty to a common assault charge and she appeared in Launceston Magistrates Court on Thursday.
The court heard Ms Marchant was the neighbour of people Ms Walker was visiting in Beaumaris when a light allegedly appeared in bushes during the night.
Ms Walker claimed the light belonged to a phone owned by Ms Marchant and that it was used to film people.
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But under cross examination Ms Walker later said she had stood in a driveway.
"I hadn't entered her property at all... as far as I was concerned, I was on public land," Ms Walker told the court.
"She [Ms Marchant] was just yelling at me to get off her property... she grabbed her dog and tried to throw it at me."
Ms Walker feared the dog would bite her and threatened to have it shot, the court heard.
"She put her phone down beside her leg and pulled out pepper spray," Ms Walker said.
"It smelt like someone had opened a can of curry or chilli."
Perfume was sprayed up in the air and not at Ms Walker, defence lawyer Isabelle Patch told the court.
According to Ms Patch, the pepper spray claim made by Ms Walker was an exaggeration.
"I haven't lied," Ms Walker said.
No pain was caused and no discomfort had been felt, Ms Walker confirmed.
Magistrate Sharon Cure adjourned the case to May 15 when two police officers and a civilian witness will give evidence.