Why wouldn't Leon be in jail?
Stan likely had the charges dropped at Ursula's behest. Either that or the sentence was house arrest with state-provided mental health care.
Maybe I'll just sit here and bleed at you.
Maybe he did do time in jail or an institution.
There is no indication of how much time had elapsed from the time of the assault until we need him again in the window.
+++ Jason (Formerly Delphinus & Formerly DelMinor)
I'm not sure about in other countries (or where, exactly, this movie takes place) but here in the States there is an insanity plea. Everyone who is put on trial must be completely, mentally "fit to stand trial." The 80s were probably the final era of Mental Institutions, but at one point lots of mentally ill patients who committed serious crimes (including murder) were put there instead of jail.
Also, I believe the ending takes place long after Leon's trial and he was probably given psychological evaluation after psychological evaluation to determine his mental state (not to mention testimony from both Ursula and Stan).
Additionally, who knows how many years passed before the ending! Both Stan and Ursula may have been married or engaged by this time. When Leon/Pin asks Ursula if she has heard from Leon, it implies to me that a significant amount of time has passed.
He was incapacitated mentally and physically. It's likely that a court settled on a House Arrest.
-[ Why does modern horror movie suck?]-
Very belated reply, I know, but why not...
Leon probably did go to jail initially, but likely never went to trial. My surmise was that there was most likely a plea agreement allowing Ursula to convert the house into an institution of care just for him, so that he could live there. This squares with the area's kids thinking of it as a local oddity and object of curiosity - not only because of what had happened there, but also because of what was still happening there.
The nurse we saw wouldn't be the only staff person present, but it would hardly have been so romantically sad to show us a bunch of security people as well, and they'd know Ursula, she could walk right in anytime.
Since Ursula and Stan were married by the end (the nurse calls her "Mrs."), and going on vacation - not honeymoon, vacation - clearly some real time had passed, at least a couple of years, maybe more. Enough for all of this to have been set up.
Not bad, all things considered. I mean if you have to be crazy, at least you can be crazy in luxury. Good thing they had money.
GLUTEN: IT'S CARCASS-FREE!