A pet escape notification system for notifying a pet owner when a pet has escaped from a predefined boundary. The escape notification system is used in association with an electronic animal containment system for maintaining a pet within the predefined boundary. A pet unit transmitter is provided for delivering a proximity alert signal to a base unit when the pet unit receives a transmitting antenna signal. After receiving the proximity alert signal, the base unit begins sending a location inquiry signal to the pet unit. Upon receipt of the location inquiry signal, the pet unit broadcasts a location inquiry response signal. If the location inquiry response signal is received by the base unit receiver, the base unit processing unit determines that the pet is still within or close to the boundary. Otherwise the base unit controller activates a communication network to notify the pet owner that the pet has escaped.