(a) To the extent provided in subsection (b) of this section, any purchaser who has voluntarily surrendered possession of the premises may maintain an action to recover payments of principal made on the contract and assessments for public improvements paid by him without interest on the payments, less any damages sustained by the seller upon the purchaser's default and his termination of the contract by voluntary surrender of possession of the premises.

(b) If the purchaser paid on account of principal, a sum in excess of twenty-five percent of the purchase price, he shall be entitled to recover that portion in excess of twenty-five percent less any other actual damages, as is more specifically set forth in section 5, subsection (e) hereof¹ suffered and expenditures made by the seller for which the purchaser has assumed liability. That portion of the purchase price retained by the seller hereunder shall be considered as liquidated damages covering possible losses sustained for the breach of contract for use and occupancy and for depreciation and not as a penalty action by the purchaser, must be instituted within one year from the date of default and such right of action by the purchaser shall not be deemed a cloud on seller's title, nor prevent seller from conveying a clear title because of the pendency of the action.