The breast cancer susceptibility protein BRCA1 and its partner BARD1 form an E3 ubiquitin ligase complex that acts as a tumor suppressor in mitotic cells. However, the roles of BRCA1-BARD1 in post-mitotic cells, such as neurons, remain poorly defined. Here we report that BRC-1 and BRD-1, the <i>Caenorhabditis elegans</i> orthologs of BRCA1 and BARD1, are required for adult-specific axon regeneration, which is positively regulated by the EGL-30 Gq-diacylglycerol (DAG) signaling pathway. This pathway is down-regulated by DAG kinase (DGK), which converts DAG to phosphatidic acid. We demonstrate that inactivation of DGK-3 suppresses the <i>
brc-1 brd-1</i> defect in axon regeneration, suggesting that BRC-1-BRD-1 inhibits DGK-3 function. Indeed, we show that BRC-1-BRD-1 poly-ubiquitylates DGK-3 in a manner dependent on its E3 ligase activity, causing DGK-3 degradation. Furthermore, we find that axon injury causes the translocation of BRC-1 from the nucleus to the cytoplasm, where DGK-3 is localized. These results suggest that the BRC-1-BRD-1 complex regulates axon regeneration in concert with the Gq-DAG signaling network. Thus, this study describes a new role for breast cancer proteins in fully differentiated neurons and the molecular mechanism underlying the regulation of axon regeneration in response to nerve injury.<b>Significance Statement</b>BRCA1-BARD1 is an E3 ubiquitin ligase complex acting as a tumor suppressor in mitotic cells. The roles of BRCA1-BARD1 in post-mitotic cells, such as neurons, remain poorly defined. We show here that <i>C. elegans</i> BRC-1/BRCA1 and BRD-1/BARD1 are required for adult-specific axon regeneration, a process that requires high diacylglycerol (DAG) levels in injured neurons. The DAG kinase DGK-3 inhibits axon regeneration by reducing DAG levels. We find that BRC-1-BRD-1 poly-ubiquitylates and degrades DGK-3, thereby keeping DAG levels elevated and promoting axon regeneration. Furthermore, we demonstrate that axon injury causes the translocation of BRC-1 from the nucleus to the cytoplasm, where DGK-3 is localized. Thus, this study describes a new role for BRCA1-BARD1 in fully-differentiated neurons.