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VOTING AGREEMENT

Voting Agreement

VOTING AGREEMENT | Document Parties: VERICHIP CORP You are currently viewing:
This Voting Agreement involves

VERICHIP CORP

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Title: VOTING AGREEMENT
Governing Law: New York     Date: 5/16/2008
Industry: Scientific and Technical Instr.     Law Firm: Holland Knight;Cleary Gottlieb     Sector: Technology

VOTING AGREEMENT, Parties: verichip corp
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Exhibit 2.3
EXECUTION VERSION
VOTING AGREEMENT
          This VOTING AGREEMENT, dated as of May 15, 2008 (this “ Agreement ”), is made by and between Scott R. Silverman, an individual (“ Stockholder ”) and The Stanley Works, a Connecticut corporation (“ Purchaser ”).
RECITALS
          WHEREAS, concurrently with the execution and delivery of this Agreement, VeriChip Corporation, a Delaware corporation (“ Seller ”), and Purchaser are entering into a Stock Purchase Agreement, dated as of the date hereof (as amended from time to time, the “ Purchase Agreement ”), which provides, among other things, for Purchaser to acquire 100% of the outstanding capital stock of Xmark Corporation (the “ Company ”), a corporation governed under the laws of Canada and a wholly-owned subsidiary of Seller (the transactions contemplated by the Purchase Agreement and this Agreement, the “ Transactions ”);
          WHEREAS, as a condition to entering into the Purchase Agreement, Purchaser has required that Stockholder enter into this Agreement, and Stockholder desires to enter into this Agreement to induce Purchaser to enter into the Purchase Agreement; and
          WHEREAS, as of the date hereof, Stockholder is the record and Beneficial Owner (as defined below) of 866,111 shares of common stock, par value $0.01 per share, of Seller (“ Shares ”) (together with such additional Shares as they become Beneficially Owned by Stockholder after the date hereof, the “ Owned Shares ”), which Shares represent 5.0% of the outstanding shares and voting power of the outstanding capital stock of Seller.
          NOW, THEREFORE, in consideration of the representations, warranties, covenants and agreements set forth herein, the parties hereto agree as follows:
1. Certain Definitions . Capitalized terms used but not defined in this Agreement shall have the meanings given to such terms in the Purchase Agreement. In addition, for purposes of this Agreement:
          “ Agreement ” shall have the meaning set forth in the opening paragraph.
          “ Beneficially Owned ” or “ Beneficial Ownership ” shall have the meaning given to such term in Rule 13d-3 under the Exchange Act.
          “ Beneficial Owner ” shall mean, with respect to any securities, a Person who has Beneficial Ownership of such securities.
          “ Company ” shall have the meaning set forth in the recitals.
          “ Currently Owned Shares ” shall have the meaning set forth in Section 7(c).
          “ Owned Shares ” shall have the meaning set forth in the recitals.
          “ Purchase Agreement ” shall have the meaning set forth in the recitals.

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          “ Purchaser ” shall have the meaning set forth in the opening paragraph.
          “ Recommendation Change ” means if (i) the Board of Directors of Seller has received a Takeover Proposal that such Board determines, in good faith by resolution duly adopted, constitutes a Superior Proposal and (ii) the Board determines (after receiving the advice of its outside counsel) in good faith by resolution duly adopted that it is reasonably necessary to withdraw or modify the Board Recommendation to comply with its fiduciary duties to the stockholders of Seller under applicable Law.
          “ Seller ” shall have the meaning set forth in the recitals.
          “ Shares ” shall have the meaning set forth in the recitals.
          “ Stockholder ” shall have the meaning set forth in the opening paragraph.
          “ Transactions ” shall have the meaning set forth in the recitals.
          “ Transfer ” shall mean, with respect to a security, the sale, transfer, pledge, hypothecation, encumbrance, assignment or disposition of such security, rights relating thereto or the Beneficial Ownership of such security or rights relating thereto, the offer to make such a sale, transfer, pledge, hypothecation, encumbrance, assignment or disposition, and each option, agreement, arrangement or understanding, whether or not in writing, to effect any of the foregoing. As a verb, “ Transfer ” shall have a correlative meaning.
2.  No Disposition or Solicitation . (a) Except as set forth in Section 5 of this Agreement, Stockholder undertakes that Stockholder shall not (i) Transfer or agree to Transfer any Owned Shares or (ii) grant or agree to grant any proxy or power-of-attorney with respect to any Owned Shares. The restrictions in Section 5 shall remain valid until this Agreement terminates pursuant to Section 9 hereof.
     (b) Stockholder undertakes that, in his capacity as a stockholder of the Company and except as contemplated by Section 10, Stockholder shall not, and shall cause his investment bankers, financial advisors, attorneys, accountants and other advisors, agents and representatives not to, directly or indirectly solicit, initiate, facilitate or encourage any inquiries or proposals from, discuss or negotiate with, or provide any non-public information to, any Person relating to, or otherwise facilitate, any Takeover Proposal. Notwithstanding the foregoing, if the Board of Directors of Seller determines, after consultation with outside counsel, in good faith by resolution duly adopted that an unsolicited written Takeover Proposal received after the date hereof other than in breach of Section 5.4 of the Purchase Agreement constitutes or is reasonably likely to lead to a Superior Proposal and the Board of Directors of Seller determines that it is reasonably necessary to take the actions described in clauses (A) and (B) of Section 5.4(a) of the Purchase Agreement to comply with its fiduciary duties to the stockholders of Seller under applicable Law, Stockholder (and his investment bankers, financial advisors, attorneys, accountants and other advisors, agents and representatives) shall be entitled (for so long as, to the knowledge of Stockholder, such Takeover Proposal remains outstanding and such determination of the Board of Directors of Seller remains applicable and has not been reversed by a subsequent determination) to participate in discussions and negotiations with the Person making such Takeover Proposal (and its representatives). Stockholder shall keep Purchaser reasonably

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apprised on a reasonably prompt basis as to the status of any such discussions and/or negotiations and shall promptly (within 48 hours) provide to Purchaser copies of any material written communications delivered or received by Stockholder in connection with such discussions and/or negotiations.
3. Stockholder Vote . Stockholder undertakes that (a) unless there shall have been a Recommendation Change, at such time as the Seller conducts a meeting of, or otherwise seeks a vote or consent of, its stockholders for the purpose of approving the Purchase Agreement and/or any of the Transactions contemplated thereby, Stockholder shall vote, or provide a consent with respect to, all then-outstanding Shares Beneficially Owned by Stockholder in favor of the Purchase Agreement and the Transactions and (b) Stockholder shall (at each meeting of stockholders and in connection with each consent solicitation) vote all then-outstanding Shares Beneficially Owned by Stockholder against, and not provide consents to, (i) any and all Takeover Proposals, and (ii) any and all actions that would reasonably be expected to delay, prevent or frustrate the Transactions or the transactions contemplated by this Agreement or the satisfaction of any of the conditions set forth in Article VI of the Purchase Agreement. Without limiting the foregoing and subject to Section 9 hereto, it is understood that except as and to the extent set forth in clause (a) above, the obligations under this Section 3 shall not be affected by any Adverse Recommendation Change or other recommendation or position of the Seller’s Board of Directors.
4. Reasonable Efforts to Cooperate . (a) Stockholder hereby consents to the publication and disclosure in the Proxy Statement, if any (and, as and to the extent otherwise required by securities Laws or the SEC or securities authorities, any other documents or communications provided by Seller, Purchaser or the Company to any Governmental Entity or to securityholders of the Seller), of Stockholder’s identity and Beneficial Ownership of the Owned Shares and the nature of Stockholder’s commitments, arrangements and understandings under and relating to this Agreement and, if deemed appropriate by Seller, a copy of this Agreement. Stockholder will promptly provide any information reasonably requested by the Company, Seller or Purchaser for any regulatory application or filing made or approval sought in connection with the Transactions (including filings with the SEC).
5. Irrevocable Proxy . (a) In furtherance of the agreements contained in Section 3 of this Agreement, Stockholder hereby irrevocably grants to, and appoints, each of Purchaser and each of the executive officers of Purchaser, in their respective capacities as officers of Purchaser, as the case may be, and any individual who shall hereafter succeed to any such office of Purchaser, and each of them individually, Stockholder’s proxy and attorney-in-fact (with full power of substitution), for and in the name, place and stead of Stockholder, to vote all Shares Beneficially Owned by Stockholder that are outstanding from time to time, to grant or withhold a consent or approval in respect of such Shares and to execute and deliver a proxy to vote such Shares, in each case solely to the extent and in the manner specified in Section 3. It being understood that the proxy granted pursuant to this Section 5 shall be solely with regard to the approval of the Purchase Agreement and the transactions contemplated thereby and the other matters set forth in Section 3, and any other matter

 
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