What's done is done; Luna's mom's friend has a new puppy, so let's be happy for her. Whether or not it pans out as a working dog or just a very much loved pet doesn't matter to the dog.
Let's be happy for her friend. Maybe her puppy will be the rare dog out of lines not known for working.
Arguments based on if a person has seen, or not seen, specific kennels' dogs are pretty much irrelevant; if the kennel has a record of producing working dogs, there is no need to defend itself.. the evidence speaks for itself.