Cyber-sibes is right. I'd report it to animal control and let them deal with it. Those dogs had no business being off leash, and the owner should at least get a warning, if not a ticket.

I was dog-sitting in Vermont years ago for some friends. Their house was up in the hills with maybe only 4 or 5 other houses around. I had Striker on the leash when all of a sudden, out of nowhere came this german shepard (Striker is also a GS). I dropped the leash so that Striker could defend himself and I could get outta the way. I, like you, felt helpless but was not about to get in the middle of it and break it up, taking the chance of getting bitten.

The only thing you could've done was exactly what you did. That is unless you happened to have a hose to turn on them.

Peanut butter sandwiches, LOL!!! I'm glad you and your precious pups are okay. Say nothing to the owner. But please, DO call Animal Control. That's what they are there for.