An electrosurgical tool comprises a retractable cutting element moveable along a linear cutting path and an electrical energy supply source which communicates electrical energy (e.g., radio frequency energy) through the cutting element and to tissue adjacent the cutting element. The cutting element may be formed of a sharp or non-sharpened material. During surgical procedures the electrosurgical cutting device is able to simultaneously cut tissue and cauterize, or fuse, the tissue in areas adjacent the incision through the application of electrical energy. The effect is a reduced amount of bleeding associated with surgical procedures and an enhanced ability to control and eliminate bleeding. Optionally, the electrosurgical cutting device may also include a supply of surgical staples which are deployed simultaneously with the cutting action and delivery of electrosurgical energy to adjacent tissue.