Escrow funds in dispute at the Title company

Here is the story snapshot - I am the seller in the transaction

- There was a dispute at closing with the buyers agent regarding inspection repair items.
- The closing officer at the Title company helped outline an escrow agreement that put $1800 into escrow at the title company that would be released upon submission of documentation of warranty info and repair receipts.
- Upon submission of the required documentation the buyers agent rejected them stating that they were unacceptable. All witnesses from the title company are available as witnesses that the information provided was provided as per the intent of the short escrow agreement.
- The Title company is now in the middle and the closing agent and realtor are fighting
- The crazy twist to the story is that I reached out to the buyer directly to try to reach a resolution and find out what else he wants fixed, etc. Turns out he is very happy with the purchase and had no idea that any of this was going on. The easy solution would be to have him sign a document to release the money..but the realtor in his words "is kind of family" and when he called her to tell her to back down, she told him not to worry about it that she was handling it.
- Is this legal and ethical behavior? Any ideas on how to get a rational resolution without filing all kinds of complaints with the real estate commission and/or filinig a civil suit? Plus, who would I sue, the buyer or the realtor? The Title company?

Thanks