Defend Mrs. Diesel?
How about bringing a claim against the neighbor for negligence/premises liability? It's preposterous that they set up their VR gaming area so close to the television set when it is reasonably foreseeable that an invitee might punch it (or another object) and injure herself.
How is her hand feeling,
@Chin Diesel ? I think you better get it checked out, maybe get some meds and physical therapy prescribed, treat for a couple months and see if she is left with any permanent injury--other than the emotional scars and trauma, that is.
In the meantime, tell him to check his homeowner's insurance policy and put the carrier on notice.