The kinetics of the esterification of lauric acid with geraniol catalyzed by a commercially immobilized lipase preparation from Mucor miehei, Lipozyme, was studied in well-stirred flasks under conditions of no external mass transfer limitations. It was shown that the reaction is inhibited by lauric acid and the reaction mechanism can be described as a Ping-Pong Bi-Bi with Dead-End inhibition caused by lauric acid.