That's good, keep up the meds so the kennel cough/pneumonia stays gone for good. Ask your vet about treating the Cherry eye nonsurgically for now, see if the swelling goes down.

Because you did NOT sign a contract with that breeder, you may have a case to recover some of the vet costs in small claims court if you want to pursue that.

Barring that, I would tell the Better Business Burea and the AKC of your problems (the kennel cough and pneumonia, not the cherry eye) with this breeder so that other people will know not to buy puppies from her.