1. A gastric mucosal laminin receptor has been isolated from the epithelial cell membrane by affinity chromatography on Sepharose-bound laminin, and following radioiodination was incorporated into liposomes which displayed specific affinity towards the laminin-coated surface. 2. The binding of liposomal receptor to the laminin-coated surface was inhibited by Helicobacter pylori lipopolysaccharide and reached a maximum value of 96% at 50 micrograms/ml. 3. The inhibitory effect of H. pylori lipopolysaccharide on the receptor-laminin binding was prevented by an antiulcer agent, nitecapone. The effect was concentration dependent and produced a maximum response of 83% at 30 micrograms/ml of drug concentration. 4. The results demonstrate that H. pylori is capable of disrupting gastric mucosal integrity by interfering with epithelial cell-laminin binding, and that an antiucler agent, nitecapone, counteracts this effect.