I watched a hunting video called Doggin Coyotes a couple of years ago in which a guy was using coyote dogs, but unlike the trailing dogs you described these dogs ran out away from the hunter a pretty good distance in an area known to have coyotes, and then the dogs ran back towards their owner once they had the coyotes attention. Every time the coyotes followed the dogs since they are so territorial, and the hunter was getting nice, close shots every time. The coyotes got so close to him a couple of times he could have killed them with sling shots! It was pretty neat to watch such well trained dogs. I didn't watch Dogging Coyotes II, but the cover says they use mountain cur dogs.
http://www.elkinc.com/VIDEOS_xdc.aspx