I am not a lawyer. But, if you go down the route of following their instructions, I'd suggest you should follow their instructions completely, including deleting the account. Otherwise, they could claim further down the line that you failed to follow their instructions.
Also, you should probably tell them you've done it, preferably with a screenshot and timestamp, just so they know you're keeping records. ;)
Also, even if that were an issue, please forgive me but I'm not entirely convinced that the problem of people posting comments that are lacking in nuance could be solved with a tool that has no nuance.
I have a very similar story. I was able to avoid a fine because I was able to prove I was not in a particular location at a particular time simply by calling up my "timeline", which is what they call your location history in G Maps.
I agree that there is always going to be a trade-off between privacy and features. You should absolutely know the trade-offs you are making, and decide if they are worth it for you.
Welcome once again :)
By the way, might wanna try your snoosite account again in a couple of days to make sure your account stays deleted.