Steroid and thyroid hormones, and vitamins A and D bind to nuclear rec
eptors, which act as ligand-modulated transcription factors. In many c
ases, ligand-activated nuclear receptor binds to positively acting hor
mone response elements (p-HREs) to induce gene transcription. However,
ligand activated receptors also repress transcription of specific gen
es and several mechanisms that account for negative regulation have re
cently emerged. One major form of negative regulation is based on tran
scriptional interference between nuclear receptors and other transcrip
tion factors, such as AP-1. In this case, the liganded receptor preven
ts AP-1 or other positively acting transcription factors from fruitful
interaction with the transcription initiation complex. A second form
of negative regulation is based on binding of nuclear receptors to spe
cialized negative HREs (n-HREs). Binding of unliganded receptor to suc
h an element results in constitutive activation, which is terminated b
y the binding of ligand. While transcriptional interference with AP-1
has been described for many members of the nuclear receptor family, ne
gative regulation through n-HREs so far has been shown only for one of
the thyroid hormone receptors. However, this type of negative regulat
ion is likely to be widespread.