24]). Via the Stone representation space of the Boolean algebra, the theory can be studied through Banach modules over C(K), where K is a compact Hausdorff space. One of the key concepts in the theory is the notion of Bade functionals. If X is a Banach C(^)-module and x e X, then a Bade functional of x with respect to C{K) is a continuous linear functional a-on A" such that, for each a in C(K) with a > 0, we haveIt is clear that the definition of Bade functionals makes sense when C(K) is replaced by an arbitrary C*-algebra. In this paper we show, using elementary C*-algebraic techniques, that most of the known results on Bade functionals for C(K) carry over to the C*-algebra setting. Moreover, we prove an existence theorem in the C*-algebraic case that is new even in the C(K) setting. This result shows that Bade functionals always exist in many important cases, e.g. when the C*-algebra is separable or when the Banach space is either separable or the dual of a separable space. In [14], T. A. Gillespie showed that, for a Banach C(K)-modu\e X, Bade functionals always exist if X does not contain a copy of c 0 , and he asked if the converse is true. However Bade functionals always exist when X = c 0) since c 0 is separable.Although the C*-algebraic point of view clarifies many of the results in [11, XVII.3, XVIII.3], this paper is written for a readership that is not assumed to be expert in C*-algebras. We therefore provide a brief account of the properties of C*-algebras and of Arens extensions that we need.Throughout, si will denote a C*-algebra with 1. The Gelfand-Naimark theorem says that we can assume that si is a C*-subalgebra of the algebra L(H) of all (bounded linear) operators on a Hilbert space H. We will choose H to have the additional properties listed in the following lemma. The interested reader can consult [22] for details. If AT is a Banach space, we follow the notation of [15] and let X** denote the normed dual of X. We will use si' to denote the commutant of si, and we use * to denote the involution in a C*-algebra. However, we still use w* to denote the weak-star topology.