Item 8.01 Other Events.

On November 4, 2009, Merge Healthcare Incorporated (the "Registrant") announced its settlement with the United States Securities and Exchange Commission (the "SEC") of the SEC's multi-year investigation into the conduct of the Registrant and two former executives of the Registrant with respect to the circumstances which led to a restatement in 2006 of the Registrant's 2002 through 2005 financial statements. This investigation ran concurrent with two shareholder lawsuits, which were resolved in 2008 and has been previously disclosed in the Registrant's filings with the SEC.

The complaint, filed by the SEC in federal court on November 4, 2009, charged the Registrant with record-keeping violations under Sections 13(a), 13(b)(2)(A) and 13(b)(2)(B) of the Securities Exchange Act of 1934 and Rules 12b-20, 13a-1, 13a-11 and 13a-13 promulgated thereunder. The SEC also charged two of the Registrant's former executives with accounting fraud and assessed financial penalties against such executives. In resolving this matter, the SEC decided not to charge the Registrant with fraud nor assess any penalty against the Registrant for the actions of its former executives. The SEC did enjoin the Registrant from violating Sections 13(a), 13(b)(2)(A) and 13(b)(2)(B) of the Securities Exchange Act of 1934 and Rules 12b-20, 13a-1, 13a-11 and 13a-13 promulgated thereunder.

Item 9.01 Financial Statements and Exhibits.

Exhibit 99.1 News Release of the Registrant dated November 4, 2009.

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