Item 1.01. Entry into a Material Definitive Agreement

On June 15, 2006, C2 Communications Technologies Inc., a wholly-owned subsidiary of C2 Global Technologies Inc. ("C2"), filed a patent infringement lawsuit against Verizon Communications,, Inc. ("Verizon") and certain other co-defendants. The complaint was filed in the Marshall Division of the United States District Court for the Eastern District of Texas and alleges that the defendants' services and systems utilizing Voice over Internet Protocol infringe C2's U.S. Patent No. 6,243,373 (the "'373 Patent"), entitled "Method and Apparatus for Implementing a Computer Network/Internet Telephone System".

On February 27, 2008, C2 executed a Settlement and License Agreement with Verizon (the "Agreement") for the purpose of settling its patent infringement litigation against Verizon. Under the terms of the Agreement, C2 granted Verizon a non-exclusive, perpetual, worldwide, fully paid up, royalty free license under any of C2's present patents and patent applications, including the '373 Patent, to make, use, sell or otherwise dispose of any goods and services based on such patents. The foregoing license grant was made in consideration of Verizon's payment to C2 in the amount of $2.475 million, payable upon the effective date of the Agreement. The payment was received on March 13, 2008. In addition, the Agreement contains other terms and provisions customary for agreements of this nature. C2's litigation with other co-defendants in the patent infringement lawsuit is on-going.

Item 8.01 Other Events.

On February 28, 2008, the Company issued a press release which is attached hereto as Exhibit 99.1 and is incorporated by reference herein.

Item 9.01 Exhibits

Exhibit No. Title

99.1 Press release dated February 28, 2008.

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