Ephrins are cell-surface tethered guidance cues that bind to Eph receptor tyrosine kinases in trans on opposing cells. In the developing nervous system, the Eph-ephrin signaling system controls a large variety of cellular responses including contact-mediated attraction or repulsion, adhesion or de-adhesion, and migration. Eph-ephrin signaling can be bidirectional, and is subject to modulation by ectodomain cleavage of ephrins and by Eph-ephrin endocytosis. Recent work has highlighted the importance of higher-order clustering of functional Eph-ephrin complexes and the requirement for Rho GTPases as signal transducers. Co-expression of Ephs and ephrins within the same cellular membrane can result in Eph-ephrin cis interaction or in lateral segregation into distinct domains from where they signal opposing effects on the axon.