Hamsters fed a lithogenic diet showed a significantly stronger tendency to gallstone formation if the diet was supplemented with 0.5 per cent chenodeoxycholic acid. In hamsters and in mice the addition of chenodeoxycholic acid to the diet resulted in a rapid and drastic shift towards this bile acid in the animals' bile. Mice were fed normal chow with supplements of 1 per cent cholesterol, 1 per cent cholesterol plus 0.5 per cent cholic acid and 1 per cent cholesterol plus 0.5 per cent chenodeoxycholic acid respectively. After four months, slight fatty degeneration with occasional cholesterol crystals were observed in the livers of the animals of the first group. In the second group there was marked fatty degeneration with a massive accumulation of cholesterol crystals. In the third group, the liver histology was essentially normal. Gallstones were present in the second group and absent in the other two. In a regression experiment, hamsters were first fed chow supplemented with cholesterol and cholic acid. After one month they were divided into two groups which were fed chow supplemented with 0.5 per cent chenodeoxycholic acid and unsupplemented chow respectively. When the animals were sacrificed 40 days later the massive accumulation of cholesterol crystals, induced by the cholesterol cholic acid containing diet, was still present in all animals fed chow. In the hamsters fed chow supplemented with chenodeoxycholic acid there were far less such crystals. The conclusion is that with chow as the basic diet a chenodeoxycholic acid supplement aids the hamster in freeing itself from excess cholesterol. On the other hand, inflammatory‐ changes of the liver were present in many of the chenodeoxyholic acid treated hamsters while they were missing in the controls. The same experiment was repeated with a gallstone provoking diet as the basic diet during the regression period. With this basic diet, chenodeoxycholic acid did not have any effect on the accumulation of cholesterol crystals in the liver. It did, however, result in the development of inflammatory changes in the liver, comparable to those observed in animals fed lithocholic acid. The results of these experiments perhaps suggest that the basic diet may be an important factor also in the clinical trials with chenodeoxycholic acid which are now carried out. They also stress the importance of careful control of liver function and morphology during these trials.