Final answer:
Sheldon, the jazz saxophonist, is the character who defends Henry and Keiko from Chaz's bullying in 'Hotel on the Corner of Bitter and Sweet'.
Step-by-step explanation:
The character who defended Henry and Keiko from Chaz on their way home from school is Sheldon. This event occurs in the historical novel 'Hotel on the Corner of Bitter and Sweet' by Jamie Ford. In the story, Sheldon, a jazz saxophonist who often plays on the streets of Seattle, steps in to protect Henry, a Chinese-American boy, and Keiko, a Japanese-American girl, from the bullying of Chaz, standing up for them and showcasing his role as a supportive character within the narrative.