Crazy puppy and confrontation with neighbour

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Just had a rather upsetting experience and looking for some unbiased opinions.

We have a 12 week old whippet pup. He came to us at 8 weeks and is doing really well so far - no problems toilet training, well socialised, started puppy training classes last week and fantastic with the DDs 9 and 8. However - every now and again (for around 10 minutes a day) he becomes possessed! Growling, nipping, barking, haring around the house, launching himself at people and things. I understand this is normal puppy behaviour and after a few minutes he calms down again and order is restored.

So this morning the madness came over him as we were getting ready for school. Really bad timing as we operate to a v tight schedule in the mornings. He had discarded the kong, chew sticks, puzzle toy, etc. In order for us all to complete brushing teeth, combing hair, checking bags, and getting shoes on I shut the puppy in the garden for a few minutes. He is quite safe as the garden is completely enclosed and it is a sunny day. As we finished getting ready he was barking to come in - admittedly sounding frantic. Before I could open the back door there was an enraged knocking on the front door, which I opened to a red-faced shouting neighbour threatening to call the RSPCA and local council and informing me I was unfit to own a dog.

Have I got this completely wrong? Still upset from the confrontation but more upset that I am traumatising our puppy. How do others cope with this mad half hour?

In the summer she will probably be moaning about your children making noise in the garden ! I agree with moose about accompanying the dog in the garden but you will probably find that she attributes any and all barking she hears to your dog even if it isn't him so definitely make a note of each time yours barks . What a ridiculous situation but please don't let it spoil your enjoyment of dog ownership.

Thank you moose for explaining - that is reassuring.

I have had a sleepless night of worry over this but feeling more rational now. This is a first dog for us so we are learning as we go along and unfortunately making mistakes on the way. Really want to get it right though.

Your pup is very young and your neighbour is maybe panicking that she will be woken up by a barking dog for the next decade. If she has her own dog you would think she would realise that this will not be the case, but one does tend to forget stuff like this.
I would reassure you that your mornings will get easier ( it might take a few weeks/months ) and maybe to keep the peace, apologise to her, remind her your pup is very young and you do not intend to leave it in the garden barking. If she has a dog you could call her bluff and ask for advice ?? (!). Take her a small gift and gain the moral high ground ?
I do feel for you though, she could give you a chance ! Maybe she was having a bad day ? Don't take it to heart, you did nothing wrong.

Your morning routine sounds complicated. I get up at 6.45 and leave with my son at 7.30!