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<P style="font-size: 14pt" align="center"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION<BR>
<FONT style="font-size: 12pt">Washington, D.C. 20549 </FONT></B>

<P style="font-size: 18pt" align="center"><B>FORM 8-K</B>

<P style="font-size: 12pt" align="center"><B>CURRENT REPORT<BR>
Pursuant to
Section 13 or 15(d) of the Securities Exchange Act of 1934</B>

<P style="font-size: 10pt" align="center"><B>Date of Report (Date of earliest
event reported): March 3, 2009</B>

<P style="font-size: 24pt" align="center"><B>VERICHIP CORPORATION</B>
<div style="font-size: 24pt" align="center"><FONT style="font-size: 10pt">(Exact name of registrant as specified in its charter)</FONT></div>

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 <TR>
  <TD width="32%">&nbsp;</TD>
  <TD width="1%">&nbsp;</TD>
  <TD width="33%">&nbsp;</TD>
  <TD width="1%">&nbsp;</TD>
  <TD width="32%">&nbsp;</TD>
 </TR>
 <TR valign="bottom">
  <TD style="border-bottom: #000000 1px solid"><B>DELAWARE</B></TD>
  <TD>&nbsp;</TD>
  <TD style="border-bottom: #000000 1px solid"><B>001-33297</B></TD>
  <TD>&nbsp;</TD>
  <TD style="border-bottom: #000000 1px solid"><B>06-1637809</B></TD>
 </TR>
 <TR valign="top">
  <TD>(State or other Jurisdiction of Incorporation)</TD>
  <TD>&nbsp;</TD>
  <TD>(Commission File Number)</TD>
  <TD>&nbsp;</TD>
  <TD>(IRS Employer Identification No.)</TD>
 </TR>

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  <TD width="49%">&nbsp;</TD>
  <TD width="1%">&nbsp;</TD>
  <TD width="49%">&nbsp;</TD>
 </TR>
 <TR valign="bottom">
  <TD style="border-bottom: #000000 1px solid"><B>1690 SOUTH CONGRESS AVENUE,
SUITE 200<BR>
DELRAY BEACH, FLORIDA<BR>
</B></TD>
  <TD>&nbsp;</TD>
  <TD style="border-bottom: #000000 1px solid"><B>33445</B></TD>
 </TR>
 <TR valign="top">
  <TD>(Address of Principal Executive Offices)</TD>
  <TD>&nbsp;</TD>
  <TD>(Zip Code)</TD>
 </TR>

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<P style="font-size: 10pt" align="center">Registrant&#8217;s telephone number,
including area code: <B>561-805-8008</B>
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cellpadding="0" width="30%" border="0">

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 <TR>
  <TD style="border-bottom: #000000 1px solid" nowrap><B>&nbsp;</B></TD>
 </TR>
 <TR>
  <TD nowrap>(Former name or former address if changed since last report.)</TD>
 </TR>

</TABLE>


<P style="font-size: 10pt" align="left">Check the appropriate box below if the
Form 8-K filing is intended to simultaneously satisfy the filing obligation of
the registrant under any of the following provisions:

<P style="font-size: 10pt" align="left"><FONT face="Wingdings">o</FONT> Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)<BR>
<BR>
<FONT face="Wingdings">o</FONT> Soliciting material pursuant
to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)<BR>
<BR>
<FONT
face="Wingdings">o</FONT> Pre-commencement communications pursuant to Rule
14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))<BR>
<BR>
<FONT
face="Wingdings">o</FONT> Pre-commencement communications pursuant to Rule
13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))<BR>


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<P style="display: none; font-size: 10pt" align="center">1
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style="margin-left: 0.25in; width: 7.2in; font-family: 'Times New Roman',Times,serif">

<P style="font-size: 10pt"
align="left"><B>Item&nbsp;1.01.</B>&nbsp;&nbsp;&nbsp;&nbsp;<B>Entry into a
Material Definitive Agreement.</B>

<P style="font-size: 10pt; text-indent: 4%" align="left">See the disclosure
provided in Item&nbsp;3.02 below.

<P style="font-size: 10pt"
align="left"><B>Item&nbsp;3.02</B>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>Unregistered
Sales of Equity Securities.</B> <BR>
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

<P style="font-size: 10pt; text-indent: 4%" align="left">On March&nbsp;3, 2009,
VeriChip Corporation (the &#8220;Company&#8221;) entered into a settlement
agreement related to the previously disclosed lawsuit filed against the Company
and other named defendants by Jerome C. Artigliere (&#8220;Plaintiff&#8221;).
The Company believes that entering into the settlement is positive for the
Company, as settling this litigation now will enable management to focus its
efforts on the Company&#8217;s business and other business opportunities.

<P style="font-size: 10pt; text-indent: 4%" align="left">Under the settlement
agreement, the Company agreed, among other things, to issue shares of its
common stock to Plaintiff or Plaintiff&#8217;s designees (the &#8220;Stock
Recipients&#8221;) valued at $250,000 (the &#8220;Target Value&#8221;). The
Company delivered 859,599 shares of its common stock to an escrow agent for the
benefit of the Stock Recipients which number of shares was determined by
dividing the Target Value plus 20% by the volume weighted average price per
share (&#8220;VWAP&#8221;) of the Company&#8217;s common stock as reported on
the Nasdaq Global Market for the 10 consecutive trading day period preceding
the execution date of the settlement agreement.

<P style="font-size: 10pt; text-indent: 4%" align="left">The ultimate number of
shares distributed from the escrow to the Stock Recipients will be determined
by the VWAP at the time of the distribution. The Company plans to file a
registration statement registering the resale of such shares within
45&nbsp;days of the date of the settlement agreement. If the value of the
shares in the escrow exceeds the Target Value on the effective date of the
registration statement, such overage in the escrow will be returned to the
Company. If the number of shares in the escrow is less than the Target Value on
the effective date of the registration statement, the Company will be required
to issue additional shares to the Stock Recipients to cover the difference.

<P style="font-size: 10pt; text-indent: 4%" align="left">In the event the
registration statement is not declared effective by September&nbsp;3, 2009, the
Stock Recipients will be entitled to shares of the Company&#8217;s common stock
valued at the Target Value plus 20%. Similarly, the Stock Recipients must
return to the Company those shares representing the excess value, and the
Company will be required to issue additional shares to the Stock Recipients to
cover any difference between this value and the number of shares issued.

<P style="font-size: 10pt; text-indent: 4%" align="left">The shares of common
stock will be issued to the Stock Recipients without registration in reliance
upon the exemption provided, among others, by Section&nbsp;4(2) of the
Securities Act of 1933, as amended, as a transaction by the Company not
involving any public offering. Digital Angel Corporation, the
Company's former parent company, has also settled its dispute with
Plaintiff.

<P style="font-size: 10pt; text-indent: 4%" align="left">Additionally, the
Company&#8217;s obligation under the settlement agreement includes a payment to
Plaintiff of $275,000, a portion of which is for his legal fees, which had been recorded by
the Company in the financial statements as of December&nbsp;31, 2008. The
Company anticipates recording the impact of this settlement in its statements
of cash flows and operations in the quarter ending March&nbsp;31, 2009. The
settlement agreement also contains a confidentiality clause, which if breached
could give the Company the ability to reclaim amounts from Plaintiff.

<P style="font-size: 10pt; text-indent: 4%" align="center">&nbsp;

<P style="display: none; font-size: 10pt" align="center">2
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<P style="font-size: 10pt" align="center"><U><B>SIGNATURES</B></U>

<P style="font-size: 10pt; text-indent: 4%" align="left">Pursuant to the
requirements of the Securities Exchange Act of 1934, the registrant has duly
caused this report to be signed on its behalf by the undersigned hereunto duly
authorized.


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 <TR>
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 </TR>

 <TR valign="bottom">
  <TD>&nbsp;</TD>
  <TD align="left"><B>VeriChip Corporation</B></TD>
</TR>

<TR><TD>&nbsp;</TD></TR>

 <TR valign="bottom">
  <TD align="left">Date: March&nbsp;4, 2009</TD>
  <TD>&nbsp;</TD>
</TR>

<TR><TD>&nbsp;</TD></TR>

 <TR valign="bottom">
  <TD>&nbsp;</TD>
  <TD align="left" style="border-bottom: 1px solid #000000">/s/ William J. Caragol</TD>
</TR>


 <TR valign="bottom">
  <TD>&nbsp;</TD>
  <TD align="left">William J. Caragol<BR>
Acting Chief Financial Officer</TD>
</TR>
</TABLE>

<P style="font-size: 10pt" align="center">&nbsp;

<P style="display: none; font-size: 10pt" align="center">3
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{"company-data": {"conformed-name": "VeriChip CORP", "cik": "0001347022", "assigned-sic": "3669", "irs-number": "061637809", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "001-33297", "film-number": "09655753"}, "business-address": {"street1": "1690 SOUTH CONGRESS AVENUE", "street2": "SUITE 200", "city": "DELRAY BEACH", "state": "FL", "zip": "33445", "phone": "561-805-8008"}, "mail-address": {"street1": "1690 SOUTH CONGRESS AVENUE", "street2": "SUITE 200", "city": "DELRAY BEACH", "state": "FL", "zip": "33445"}}
Form 8-K
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to
Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest
event reported): March 3, 2009
VERICHIP CORPORATION
(Exact name of registrant as specified in its charter)
DELAWARE
001-33297
06-1637809
(State or other Jurisdiction of Incorporation)
(Commission File Number)
(IRS Employer Identification No.)
1690 SOUTH CONGRESS AVENUE,
SUITE 200
DELRAY BEACH, FLORIDA
33445
(Address of Principal Executive Offices)
(Zip Code)
Registrant's telephone number,
including area code:
561-805-8008
(Former name or former address if changed since last report.)
Check the appropriate box below if the
Form 8-K filing is intended to simultaneously satisfy the filing obligation of
the registrant under any of the following provisions:
o
Written
communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
o
Soliciting material pursuant
to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o
Pre-commencement communications pursuant to Rule
14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o
Pre-commencement communications pursuant to Rule
13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 1.01.
Entry into a
Material Definitive Agreement.
See the disclosure
provided in Item 3.02 below.
Item 3.02
Unregistered
Sales of Equity Securities.
On March 3, 2009,
VeriChip Corporation (the "Company") entered into a settlement
agreement related to the previously disclosed lawsuit filed against the Company
and other named defendants by Jerome C. Artigliere ("Plaintiff").
The Company believes that entering into the settlement is positive for the
Company, as settling this litigation now will enable management to focus its
efforts on the Company's business and other business opportunities.
Under the settlement
agreement, the Company agreed, among other things, to issue shares of its
common stock to Plaintiff or Plaintiff's designees (the "Stock
Recipients") valued at $250,000 (the "Target Value"). The
Company delivered 859,599 shares of its common stock to an escrow agent for the
benefit of the Stock Recipients which number of shares was determined by
dividing the Target Value plus 20% by the volume weighted average price per
share ("VWAP") of the Company's common stock as reported on
the Nasdaq Global Market for the 10 consecutive trading day period preceding
the execution date of the settlement agreement.
The ultimate number of
shares distributed from the escrow to the Stock Recipients will be determined
by the VWAP at the time of the distribution. The Company plans to file a
registration statement registering the resale of such shares within
45 days of the date of the settlement agreement. If the value of the
shares in the escrow exceeds the Target Value on the effective date of the
registration statement, such overage in the escrow will be returned to the
Company. If the number of shares in the escrow is less than the Target Value on
the effective date of the registration statement, the Company will be required
to issue additional shares to the Stock Recipients to cover the difference.
In the event the
registration statement is not declared effective by September 3, 2009, the
Stock Recipients will be entitled to shares of the Company's common stock
valued at the Target Value plus 20%. Similarly, the Stock Recipients must
return to the Company those shares representing the excess value, and the
Company will be required to issue additional shares to the Stock Recipients to
cover any difference between this value and the number of shares issued.
The shares of common
stock will be issued to the Stock Recipients without registration in reliance
upon the exemption provided, among others, by Section 4(2) of the
Securities Act of 1933, as amended, as a transaction by the Company not
involving any public offering. Digital Angel Corporation, the
Company's former parent company, has also settled its dispute with
Plaintiff.
Additionally, the
Company's obligation under the settlement agreement includes a payment to
Plaintiff of $275,000, a portion of which is for his legal fees, which had been recorded by
the Company in the financial statements as of December 31, 2008. The
Company anticipates recording the impact of this settlement in its statements
of cash flows and operations in the quarter ending March 31, 2009. The
settlement agreement also contains a confidentiality clause, which if breached
could give the Company the ability to reclaim amounts from Plaintiff.
SIGNATURES
Pursuant to the
requirements of the Securities Exchange Act of 1934, the registrant has duly
caused this report to be signed on its behalf by the undersigned hereunto duly
authorized.
VeriChip Corporation
Date: March 4, 2009
/s/ William J. Caragol
William J. Caragol
Acting Chief Financial Officer