ZippySack LLC v. Ontel Products Corp.

Following a patent-infringement settlement letting Ontel (defendant) sell off remaining inventory, Ontel discovered additional unsold inventory after the settlement and informed ZippySack (plaintiff), which sued for breach of the settlement; Ontel claimed the settlement should be rescinded due to its own unilateral mistake in estimating the inventory quantity.

Whether a unilateral mistake in estimating inventory quantities warrants rescission of a settlement agreement.