Greenhouse and laboratory studies were conducted to investigate the allelopathic potential of alfalfa and vetch residues on soybean and corn using various extract concentrations (0, 5, 10, 15 and 20%, w/v) and residue rates (0, 0.25, 0.5, 0.75 and 1%, w/w). Aqueous extracts of alfalfa (Medicago sativa L.) and vetch (Vicia spp.) exhibited an allelopathic effect on soybean and corn seed germination, seedling length and weight. The degree of inhibition significantly increased as the aqueous extract concentration increased. Alfalfa and vetch 20% extracts reduced soybean seed germination, seedling length and weight by 35%, 57%, 32% and 15%, 42%, 25% respectively, when compared to control. Corn germination, seedling length and weight was inhibited by 20%, 23%, 38% by alfalfa and 19%, 18%, 35% by 20% vetch extracts. Alfalfa and vetch extracts inhibited secondary root formation and branching as the extract concentration increased. Alfalfa and vetch 20% extracts inhibited by 41% and 32% secondary root numbers, respectively as compared to control. It was found that the aqueous extract of alfalfa resulted in greater reduction in germination, seedling length and weight of soybean than that of vetch. Alfalfa and vetch 1% residue rate inhibited soybean plant height by 30% and 10%, leaf area by 31% and 23%, and dry weight by 18% and 1%, nodule number by 27% and 20% also. Alfalfa and vetch residue significantly enhanced plant height, leaf area and dry weight of corn. The maximum stimulation occurred with 0.25% and 1% of alfalfa and vetch residue rates, respectively. Plant height, leaf area, and dry weight increased by 23%, 59%, 58% and 17%, 52%, 94% with alfalfa and vetch residues of 0.25% and 1%, respectively. This study demonstrates that there is an allelopathic potential resulting from alfalfa and vetch residues on soybean growth and yield. It also suggests that these residues may affect crop growth and development due to the inhibitory or stimulatory effects of allelochemicals existing in the residue.