Thanks for all the great replies.
 
Just to clarify, the DM was not acting as any kind of an instructor.  He was there working on his own skills and helping his buddy (girlfriend) with hers.  We were all in the pool at the same time with our scuba gear just like we're all in the pool together when we swim laps.
 
Also, I use the gear I was in for local diving so I sometimes think of it as "mine", but I totally understand about the liability.
 
That brings me to another point.  I'm not only going to try to get my own gear quicker then I planned, but I'm also considering avoiding a DM cert in the future.  Granted this is a long way out for me, but I like to have long term goals.  
 
If liability for being around other divers somehow gets worse with a teaching cert , I think I'll just shoot for master scuba diver, tec certs and cross training with other agencies for my goals.  I guess thats just the world we live in today, but I think it sucks! 
 
Thanks again for all the replies.  I hope to run into some of you underwater sometime; this really seems like a great group of people.