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Welcome to the board, Gil.
You friend is right. No double dribble. Your friend's initial dribble ended and he lost player control when the ball left his hands and then went off of you. When he regained player control, it is now legal for him to dribble again. If he just touched you with the ball and it never left his hands, then it woulda been a double dribble because he never did lose player control.
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