Abstract Protein tyrosine phosphatases (PTPs) tightly regulate tyrosine phosphorylation essential for cell growth, adhesion, migration, and survival. We performed a mutational analysis of the PTP gene family in cutaneous metastatic melanoma and identified 23 phosphatase genes harboring somatic mutations. Among these, receptor-type tyrosine-protein phosphatase delta (PTPRD) is one of the most highly mutated genes, harboring 17 somatic mutations in 79 samples, a prevalence of 21.5%. Functional evaluation of six PTPRD mutations show enhanced anchorage-dependent and anchorage-independent growth. Interestingly, melanoma cells expressing mutant PTPRD are significantly more migratory than cells expressing wild-type PTPRD or vector alone, indicating a novel gain-of-function associated with mutant PTPRD. To understand the molecular mechanism of PTPRD, we searched for its binding partners by converting the active PTPRD enzyme into a ‘‘substrate trap’’ form. Using mass spectrometry and co-immunoprecipitation, we report desmoplakin, a desmosomal protein that is implicated in cell-cell adhesion, as a novel PTPRD substrate. Further analysis showed reduced phosphatase activity of mutant PTPRD against desmoplakin. Thus our study has established a novel link between PTPRD and desmoplakin and identified a phosphatase implicated in desmosome formation, which is disrupted in melanoma. As both Met and EGFR signaling have been shown to be involved in desmoplakin phosphorylation and their respective inhibitors, SU11274 and Gefinitib reduce its phosphorylation; melanoma cells harboring PTPRD mutations may be selectively sensitive to these two inhibitors. Moreover, because PTPRD is also mutated in glioblastomas and adenocarcinoma of the colon and lung, our data might be applicable to a number of human cancers. Note: This abstract was not presented at the meeting. Citation Format: Vijay Walia, Todd Prickett, Jung-Sik Kim, Jared J. Gartner, Jimmy C. Lin, Steven A. Rosenberg, Randolph C. Elble, David A. Solomon, Todd Waldman, Yardena Samuels. Mutational and functional analysis of the tumor suppressor PTPRD in human melanoma. [abstract]. In: Proceedings of the 106th Annual Meeting of the American Association for Cancer Research; 2015 Apr 18-22; Philadelphia, PA. Philadelphia (PA): AACR; Cancer Res 2015;75(15 Suppl):Abstract nr LB-065. doi:10.1158/1538-7445.AM2015-LB-065