Schawbel filed suit against The Heat Factory, accusing The Heat Factory of violating an Asset Purchase Agreement and patent license agreement. According to the complaint, the Heat Factory had agreed to buy and resell Schawbel’s heated insole inventory, to be paid in monthly installments. When The Heat Factory missed some payments, Schawbel exercised its right to terminate the agreements. Following termination, Schawbel says The Heat Factory continued selling the inventory. Schawbel asserts breach of contract and willful infringement of eleven utility patents and eight design patents, as well as declaratory judgment that its termination of the APA and license agreement were legitimate.