The phospholipase D (PLD) superfamily is a diverse group of proteins that includes enzymes involved in phospholipid metabolism, a bacterial toxin, poxvirus envelope proteins, and bacterial nucleases. Based on sequence comparisons, we show here that the tyrosyl-DNA phosphodiesterase (Tdp1) that has been implicated in the repair of topoisomerase I covalent complexes with DNA contains two unusual HKD signature motifs that place the enzyme in a distinct class within the PLD superfamily. Mutagenesis studies with the human enzyme in which the invariant histidines and lysines of the HKD motifs are changed confirm that these highly conserved residues are essential for Tdp1 activity. Furthermore, we show that, like other members of the family for which it has been examined, the reaction involves the formation of an intermediate in which the cleaved substrate is covalently linked to the enzyme. These results reveal that the hydrolytic reaction catalyzed by Tdp1 occurs by the phosphoryl transfer chemistry that is common to all members of the PLD superfamily.T he members of the phospholipase D (PLD) superfamily comprise a highly diverse group of proteins that include plant, mammalian and bacterial PLDs, bacterial phosphatidylserine and cardiolipin synthases, a bacterial toxin, several poxvirus envelope proteins, and some bacterial nucleases (1-3). Sequence alignments reveal that with the exception of two nucleases (1) the proteins arose as a result of a gene duplication event with each half of the protein containing four repeated motifs. Motifs 3 and 4 contain the highly conser ved HxK(x) 4 D(x) 6 GSxN sequence, termed the HKD motif (4), which has been implicated in the catalytic mechanism (see below). The crystal structure of the Salmonella typhimurium Nuc protein (4), one of the bacterial nucleases, shows that the active form of the enzyme is a dimer with the HKD motifs contributed by each subunit organized in roughly the same spatial arrangement as the two HKD motifs found in the crystal structure of the monomeric PLD from Streptomyces sp. strain PMF (5).For those members of the superfamily known to have catalytic activity, the enzymatic reactions all involve phosphoryl transfer from a donor to an acceptor that is either an alcohol or water. In the cases of the phospholipid synthases, a phosphatidyl moiety is transferred either from a cytidine 5Ј-diphosphate-diacylglycerol donor to serine or from phosphatidylglycerol to another phosphatidylglycerol to synthesize phosphatidylserine or cardiolipin, respectively. The PLDs either hydrolyze the phosphodiester bond in the phospholipid to produce phosphatidic acid and a free head group (often choline) or catalyze the exchange of one head group for another (transphosphatidylation). The nucleases appear to simply catalyze the hydrolysis of DNA phosphodiester bonds.The similar chemistry underlying these reactions suggests that the enzymes in the superfamily share a similar catalytic mechanism. Early evidence showing retention of configuration at the substrate phosphorous in the re...