I suggest you send the expenses you incurred to AC and ask for reimbursement as the flight was ex-EU. The fact that you were home makes no difference to EU. Also, you have some things at home, but other things you don't. Being home will make a difference in what AC will offer or what they will say is their policy, but they cannot make policy that takes away your entitlement under any laws. Just stand your ground and keep asking for reimbursement up to the legal entitlement.
Since the bags never arrived in YYZ, the fact OP did not collect them there would have done nothing but delay the OP to the destination.