An electrode assembly for use with an instrument for sealing vessels, the electrode assembly comprising: a pair of opposing first and second jaw members being movable relative to one another from a first position wherein the jaw members are disposed in spaced relation relative to one another to a second position wherein the jaw members cooperate to grasp tissue therebetween; each jaw member including an electrically conductive tissue contacting surface (284, 286), each tissue contacting surface being connectable to a source of electrosurgical energy such that the tissue contacting surfaces are capable of conducting electrosurgical energy through the tissue held therebetween to affect at least a partial seal; the first jaw member including an electrically conductive cutting element within the first tissue contacting surface and the second jaw member including an insulator disposed at least partially therein, the insulator being disposed in substantially opposing relation to the cutting element; characterized by: a smart sensor interposed between the cutting element and a connection for an electrosurgical generator for the cutting element, for determining overall seal quality prior to activating the cutting element and for measuring or determining a tissue parameter to regulate/control the electrosurgical energy supplied to the cutting element during cutting, whereby tissue can be initially sealed and thereafter cut without re-grasping the tissue; and further characterized in that the cutting element extends from the first tissue contacting surface towards the second tissue contacting surface to create a gap between the tissue contacting surfaces during sealing and wherein the cutting element and the first tissue contacting surface are independently activatable by the surgeon. a pair of opposing first and second jaw members being movable relative to one another from a first position wherein the jaw members are disposed in spaced relation relative to one another to a second position wherein the jaw members cooperate to grasp tissue therebetween; each jaw member including an electrically conductive tissue contacting surface (284, 286), each tissue contacting surface being connectable to a source of electrosurgical energy such that the tissue contacting surfaces are capable of conducting electrosurgical energy through the tissue held therebetween to affect at least a partial seal; the first jaw member including an electrically conductive cutting element within the first tissue contacting surface and the second jaw member including an insulator disposed at least partially therein, the insulator being disposed in substantially opposing relation to the cutting element; characterized by: a smart sensor interposed between the cutting element and a connection for an electrosurgical generator for the cutting element, for determining overall seal quality prior to activating the cutting element and for measuring or determining a tissue parameter to regulate/control the electrosurgical energy supplied to the cutting element during cutting, whereby tissue can be initially sealed and thereafter cut without re-grasping the tissue; and further characterized in that the cutting element extends from the first tissue contacting surface towards the second tissue contacting surface to create a gap between the tissue contacting surfaces during sealing and wherein the cutting element and the first tissue contacting surface are independently activatable by the surgeon. a smart sensor interposed between the cutting element and a connection for an electrosurgical generator for the cutting element, for determining overall seal quality prior to activating the cutting element and for measuring or determining a tissue parameter to regulate/control the electrosurgical energy supplied to the cutting element during cutting, whereby tissue can be initially sealed and thereafter cut without re-grasping the tissue; and further characterized in that the cutting element extends from the first tissue contacting surface towards the second tissue contacting surface to create a gap between the tissue contacting surfaces during sealing and wherein the cutting element and the first tissue contacting surface are independently activatable by the surgeon.