They should "cut me a check" like you said because by buying a full fare with them I also paid for a service.
Customer Service is included in the fare, it is not just Transport from A to B.
This is one of the reasons some airlines are more expansive than others: the transport is the same, the difference is in the service.
I did get the transport from A to B but not the customer service. Therefore I overpaid the fare as I only got part of the deal (i.e. the transport without the service).
Hence I claimed compensation for:
- the lack of customer service I received and for the stress it caused me and my family
- the hours I had to spend on the phone (day or night), time which I should have spent enjoying my annual holiday instead of having to do THEIR job
"Compensation" = something given or received as an equivalent for services, debt, loss, injury, suffering, lack, etc...
We both know that their mileage offer was not a proof of good will from Etihad's part.
"Good will" = friendly disposition; benevolence; kindness
There was nothing friendly or kind in their offer: after an experience like mine, it is obvious to anyone, in particular to Etihad, that I would not take any other chance with them, hence would never choose their company again (considering that there are many other airlines offering the same route).
By offering me airpoints knowing full well that these airpoints will not be accepted, it was just a matter of covering themselves, certainly not a matter of "good will".