AC offered to deliver bags to people. That looks to me like a proactive move. Yes, a line ensued, but at 1 am it's not like there are a lot of spare baggage agents floating around T1.

My inclination would have been to head home, and return the following morning to pick up the bags rather than wait out the queue or wait an uncertain amount of time for baggage delivery. Having chosen to do otherwise in the face of two other options, I have no sympathy for the compensation argument. This is travel. In winter in Canada. Things are going to go pear-shaped, sometimes.

There are circumstances that call for compensation, but an extra hour waiting for bags doesn't strike me as one of them.