Abstract: A liquid crystal device is constituted by a pair of substrates, and a liquid crystal disposed between the substrates. At least one of the substrates has thereon an alignment film. The alignment film is characterized in that (1) it has a surface energy of at most 35 dyne/cm before rubbing and has been rubbed to have a refractive index anisotropy of at least 0.02, or (2) it has been rubbed to have a surface energy difference .DELTA.E of at least 9 dyne/cm and a difference .DELTA..delta. in dispersion term of the surface energy of at least 6 dyne/cm between before and after the rubbing. The alignment film is effective in providing a high contrast and decreasing a delay in optical response causing after-image.