This is essentially the melee of the game. So, if you don’t resolve it in as many action points as you have that turn then you must wait until your next turn. Squabble is an action. If each Gnome (whether defending or attacking) fails to roll below 5 then you take 1 health damage. If you roll over 5 and your opposing gome doesn’t then you take no damage, but they do. I hope that clears it up for you.