Resolution of a tertiary allylic terpene alcohol (’linalool’) employed in flavor and fragrance applications was achieved via biocatalytic hydrolysis of its acetate ester using the carboxyl ester hydrolase activity of lyophilized bacterial cells. Several strains of the genera Rhodococcus, Nocardia, Arthrobacter and Mycobacterium were found to be active. In general, the enantioselectivity was low; only with Rhodococcus ruber SM 1792 (S)-linalool was obtained in 58% e.e. (E-value similar to 5).