I had the factory reset error several times yesterday. After the first instance, I reloaded everything only to have the error immediately recur. Taking a slower problem solving approach, I found that the error occured when in my last step I loaded the books from sources other than Kobo. Upon cylcing off and on, the error recurred. I finally found the error to be a result of having both the Kobo preview and a side-loaded copy of the same book.
So now, as much as I like having a preview to determine if the book is something I might like, I will not allow them to hang around, lest they interfere if I get the book from another source.
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