"thx do i have to remove the fan from in back of the motherboard? I heard some people saying you have to take out the motherboard to do something to the chipset heatsink or fan.. not sure which it is.."
No you don't. To remove the fan, take out the 4 small screws which hold the thin metal plate on. Then, move the fan blades around. You will see 3 small screws behind the fan. Take those out and your fan will be free.
All you need is a small phillips head screwdriver.
If you were to remove the heatsink too, then you'd have totake out the motherboard and work out the heatsink from its pins on the back of the motherboard.
***Make sure to ground yourself by touching some metal before you do any of this. Static electricity is your enemy. Touch some metal inside your case and you should be fine.***
"should I have the 120mm blowing into the case or ouf of the case?"
I'm a little confused by this, but you should have a fan directing air at the heatsink. The fan that is already on the heatsink was blowing air at the heatsink, not away from it.