Hyatt has no walk policy. In most ways, Hyatt benefits are leading edge. However, it is behind the other chains when it comes to a walk policy. I was walked as a diamond at the Albuquerque Hyatt Place perhaps 18 months ago. I received no points, no stay credit, no cert for another stay. I was sent down the road to a lesser level hotel.
I don't understand your friend's refusal to take a room at another hotel, paid for by the hotel that walked him.