Evelyn, I am with you all the way about spray bottles being both harmless and effective ! I have used them on dogs, cats, horses, and probably even my kids. They always seem to shock the misbehaver right out of whatever they are doing, and they will stop right away. Even though it doesn't really hurt; it seems to stop everything but a very serious fight, and the animals soon learn not to do the offensive behavior.
It will get cats off of the counter top, dogs off the bed or couch, and if they are arguing, it will also stop that if done soon enough.
I have never even tried an actual "time-out", just putting the offending animal outside of the house for a while until they settle down. I don't know if it actually teaches them anything, but it does stop the behavior and gives the cat or dog time to settle down again.