Are We Required To Sign A Termination Of Agreement To Purchase And Do We Have A Small Claims Case?

Location: Alaska My husband and I moved to Alaska in early September and quickly started looking for a house to purchase. After being outbid by cash offers a couple of times, we put an offer on a house we both really liked and it was accepted. Everything on our end went smoothly. Our financial institution waived the appraisal, we had our inspection, and the loan processing happened quickly. There were some repairs that needed to be made that came out of the inspection, but we proposed them to be fixed by the sellers and the sellers accepted. We were set to close on October 22nd.

The seller's realtor ended up dropping the ball in the beginning and didn't actually get the contractors set up for the repairs when she thought she did. So, the contractors were rescheduled and the 22nd came and went and an extension was agreed upon for October 30th.

This time the sellers were not happy with their realtor's contractor of choice and scheduled their own to go in and report back to them. Their contractor gave them a different scope of what needed to be repaired and the seller scheduled that contractor to go in and do the repairs he reported. This resulted in another extension to November 5th.

On November 3rd, it was relayed to us that the repair work had not been completed as scheduled and that the sellers had spoken with their financial advisor over that weekend. The financial advisor had told them they were selling their house for too little and could be getting more money out of it. For reference, this is a 1782 square foot home, with 4 bedrooms and 2 bathrooms that we were going to be purchasing for $425,000, well within the market value of similar homes in the area.

So, on November 5th, while they were already in breach of the contract (in Alaska paperwork is signed and then the next day the transaction processes), they sent us a Termination of Agreement to Purchase, with an addendum that we will not take legal action against them.

My questions are:

Do we have to sign the Termination of Agreement to Purchase if the sellers were in breach of the contract by not completing the repairs and not sending the Termination until the final day?

Do we have a small claims case for the inspection fee, extra storage fees for all our belongings, extra rent fees for the Airbnb we have been staying in, etc?

Thanks in advance for any help you can provide!