My first thought on this was anger that this was the man's very first Schnauzer, she was seven years old had done her job with having puppies for him to sell during these years - he had her spayed, she was getting fat (who's fault was that?) she wanted to sleep a lot ( who wouldn't, who was a baby factory for years)and now he wanted to get rid of her to this lady, mind you not the decency to give her away with a little dignity but sell her. I'll grant you she was caring for the dog with cancer treatments, but where was everybody when the dog drowned in the pool, do they think the poor dog could walk up the pool ladder?
If the lady has taken steps so that accident couldn't happen again and she spent a little time with Chelsea to see how they would react to each other maybe it would work out.
Just because a dog looks exactly like your dog who passed away, does not mean it will have the same personality and be the same dog. We must open our minds to each dog who has a personality of his or her own.
Jackie