(You don't have to; he may trim to the property line; he is to deliver the branches to you if you want them as they are yours.)
Since they gave notice of impending damage from your trees, that will hold some legal issues if indeed a tree hits their building. In most cases a healthy tree falling down is an act of god; but now they set liability issues in motion, and you likely need to follow up with your own lawyer's interpitation of it all. Are there any dead, cracked, or weakened trees in that area? Perhaps a meeting with your insurance company, if that doesn't stir up a can of worms would bring some laws/ rules to light as well.
I sense you are a bit miffed by this letter. I would be as well. As others say, there are 2 directions to go with this, and whatever you set in motion will be around for 20 years or so.
Looking into county setback laws and building a fence (some states & counties require both landowners to pay 1/2 for the fence when one is built.....) might not be a bad idea. It seems you got one of the special neighbors. We all get one or 2 of those in a neighborhood....
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