A patient with widespread subacute cutaneous lupus erythematosus (SCLE) developed halos of uninflamed, normal-appearing skin around lesions of molluscum contagiosum. A biopsy confirmed the lack of active lupus erythematosus (LE) in the halo area (neither basal layer liquefaction nor inflammatory infiltrate was present). Direct immunofluorescence of the halo area showed only weak staining with IgG and C3. In contrast, adjacent skin, clinically involved with cutaneous LE, showed both active LE by light microscopy and strong staining with IgG and C3. We feel the molluscum contagiosum lesions that developed in areas of active SCLE somehow suppressed the clinical, histologic, and immunologic expression of SCLE in he surrounding skin. This observation might offer some insight into the poorly understood pathophysiologic mechanisms involved in cutaneous LE.