It basically works as described, although the marks don't erase completely clear -- because you're writing with a metal pen tip, there's no way to avoid impressing the paper a little, and the indentations are pretty visible. Still, it's better than any erasable pen we've ever used, and it definitely writes like a decent clicky-pen, so we can't fault it too much. Oddly, Sharpie's blog says it takes three days for the ink to dry to permanence, but the back of the package says 24 hours, so we'll have to see how long our test scribbles last -- we'll let you know. Video after the break.
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Sharpie Liquid Pencil hands-on