That clip is edited by Max. Of course it doesn't explain Lain's side of things. I have no idea what order any of that clip was shot in.

Obvious problem: Max surprised Lain by pissing for real instead of faking. That's a reasonable complaint - if you're really gonna piss on a girl you need to say so.
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"If they can't picture me with a knife, forcing them to strip in an alley, I don't want any part of it. It's humiliating." - windsock