Clove oil derived from the clove plant [Syzygium aromaticum (=Eugenia caryophyllata)] is active against various soil-borne plant pathogens and therefore has potential for use as a bio-based pesticide. A clove oil formulation previously found to be toxic to the southern root-knot nematode (Meloidogyne incognita) in laboratory assays was investigated in greenhouse studies for nematode suppression and phytotoxicity on vegetable crops. Phytotoxicity studies were conducted with 0.1%, 0.2%, and 0.3% clove oil applied to soil 0, 2, 5, and 7 days before transplant of cucumber (Cucumis sativus), muskmelon (Cucumis melo), pepper (Capsicum annuum), and tomato (Solanum lycopersicum) seedlings. Tomato seedlings were the most sensitive to clove oil. The 0.2% and 0.3% clove oil concentrations applied as drenches at transplant (0 day) were the most phytotoxic to seedlings of all the tested vegetable species, with only 0% to 50% seedling survival. Most of the clove oil concentrations applied as drenches at transplant decreased shoot heights and fresh shoot weights of all seedlings. Some applications of clove oil at 0.2% and 0.3%, applied 2, 5, or 7 days before transplant also significantly reduced shoot growth, especially of pepper and tomato. Greenhouse experiments evaluating suppression of nematode populations on cucumber were conducted with 0.10%, 0.15%, and 0.20% clove oil applied 7 days before transplant. Overall, plants inoculated with nematodes tended to have smaller shoots and heavier roots than plants without nematodes. Effects of clove oil treatments on nematode population densities were inconsistent between the two trials. In Trial 1, 0.10% and 0.15% clove oil decreased population densities compared with the carrier control. In Trial 2, nematode population densities were lowest in the water and carrier control treatments. The results indicate that, with the tested clove oil formulation and application times, southern root-knot nematode populations would not be consistently reduced with clove oil concentrations that were not phytotoxic to one or more of the tested vegetable crops.