Item 5.02 Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On November 21, 2008, MedQuist Inc. (the "Company") entered into an indemnification agreement with its President and Chief Executive Officer, Peter Masanotti (the "Masanotti Indemnification Agreement").

The Masanotti Indemnification Agreement, which is attached to this report as Exhibit 10.1, provides that to the extent permitted by applicable law the Company will indemnify Mr. Masanotti against all expenses (including attorneys' fees), judgments, fines and amounts paid in settlement actually and reasonably incurred by him in conjunction with any suit in which he is a party or otherwise involved as a result of his service as an officer. The Masanotti Indemnification Agreement is substantially similar to the indemnification agreements that the Company has entered into with each of its directors and executive officers.

The terms of Mr. Masanotti's employment with the Company are governed by the employment agreement the Company entered into with him on September 3, 2008 (the "Employment Agreement"). The current report on Form 8-K filed with the Securities and Exchange Commission on September 9, 2008 is hereby incorporated by reference with respect to the Employment Agreement and other terms of Mr. Masanotti's employment with the Company discussed therein.

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

The attached Exhibit Index is hereby incorporated by reference.

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