Numerous studies have shown evidence for a sparse lexicon in speech perception, often in the guise of underspecification, where certain information is omitted in the specification of phonological forms. While previous work has made a good case for underspecifying certain features of single speech sounds, the role of phonological context in underspecification has been overlooked. Contextually-mediated underspecification is particularly relevant to conceptualizations of the lexicon, as it is couched in item-specific (as opposed to phoneme-specific) patterning. In this study, we present behavioral and ERP evidence that surrounding phonological context may trigger underspecified lexical forms, using regular morphophonological alternations in English.