Galactosidases are enzymes that catalyze the hydrolysis of galactosides into monosaccharides. They can be classified as α- or β-Galactosidase. In E.coli the latter one is encoded by the Lac-Z gene and is responsible for breaking down the disaccharide lactose into its monosaccharide components, glucose and galactose.
β-Galactosidase can be used to track the efficiency of bacterial transformation with a recombinant plasmid in a process called Blue/White Color Screening. It is also a frequently used reporter gene to monitor tissue specific gene-expression.