Yep, FFofL nails it just like Hollywood.
If yer shootist doesn't stay in the street and fight like a man, he risks stopping a pointblank scattergun blast from an irate shopkeeper on entering his emporium... if it's a hit he takes a wound, if not the storekeeper has legged it out the back door.
Bystanders can stand around and watch the fun, providing a skerrit of cover to any baddy that grabs them as a shield. Alternately they can have an activation that sets them off legging it randomly. This is extremely funny for the baddies if they start cluttering up the goodies line of fire... unless, of course the 'goodies' are Harrigan's bounty hunters!
"You'rn turned our town into a battlefield!"
:-*
I'm kind of with Fifeteensaway on this one. It's a Cowboy town, so it needs townsfolk, to get in the way/hinder the gunfighters that turn their town into a battlefield.
'Open Range' is an example I try to follow in Dead Man's Gulch. Sometimes the Gulchers leg it and main street's deserted. Other occasions they decide its their town and take a very active though generally incompetent hand in repelling the baddies.
"You done turn our town into a battlefield!"
(https://m.media-amazon.com/images/M/MV5BMjAyNjkxOWMtODE0MS00MzMyLTgwZGUtZTY4MmU3ZjZjNDE0XkEyXkFqcGdeQXVyNzM0MTUwNTY@._V1_.jpg)
:)