...which sounds rather prophetic when you think about that line.
That said, even if he didn't kill anyone (which may be unlikely given how he was so agitated during most of the night), he still wouldn't be able to escape the charges of intruding into Buddy's house and torturing him. Dawn has an alibi---she could prove she didn't come over to Buddy's house until about midnight. She could prove she wasn't one torturing Buddy.
On the other hand, if he killed Buddy, the (fictional) Hollywood world would've lost a producer, and Guy's Hollywood career would most likely be over. Not to mention, 'self-defence' wouldn't be an excuse in that case, because even though Buddy did crap things to Guy over that year, at least he didn't punch him, give him paper cuts on the tongue, pour hot sauce etc. He still wouldn't be able to pin the murder on Dawn, because as I've said, Dawn has an alibi and can prove that she wasn't the one who did it. Plus, there's most likely Guy's fingerprints on Buddy's gun, to prove that he was the one who pulled the trigger.
The only way out for both Buddy and Guy was for Guy to kill Dawn. I also think his illusion of Dawn being this nice young woman was shattered, by the time he learnt that she had risen up the Hollywood career ladder by her 'other' talents, if you know what I mean. If he killed Dawn, he and Buddy could just pretend that she was the one who was torturing Buddy, and they could both claim that Guy was the one that came over at midnight to deliver scripts, and pulled the trigger on Dawn to protect Buddy. That was the cover story that Buddy and Guy most likely told (although that is not in the film), and that's the cover story that Jack (the guy who comes into Guy's office at the end of the film) says.
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