It's great that the yard has agreed they owe you a paint job. You should start looking now for the yard that will actually paint the boat, at this yard's expense.
Also note that the longer you leave the boat where it is now, the more evidence some lawyer has to make a case that you were ok with all of this.
Also note that the longer you leave the boat where it is now, the more evidence some lawyer has to make a case that you were ok with all of this.