diff --git a/src/course-libraries/index.tsx b/src/course-libraries/index.tsx
index c5fd05834..d6dd94ae0 100644
--- a/src/course-libraries/index.tsx
+++ b/src/course-libraries/index.tsx
@@ -1 +1,2 @@
 export { CourseLibraries } from './CourseLibraries';
+export { courseLibrariesQueryKeys } from './data/apiHooks';
diff --git a/src/course-outline/CourseOutline.test.tsx b/src/course-outline/CourseOutline.test.tsx
index 5ee8c8fd0..d5003f9ea 100644
--- a/src/course-outline/CourseOutline.test.tsx
+++ b/src/course-outline/CourseOutline.test.tsx
@@ -11,6 +11,7 @@ import pasteButtonMessages from '@src/generic/clipboard/paste-component/messages
 import { getApiBaseUrl, getClipboardUrl } from '@src/generic/data/api';
 import { postXBlockBaseApiUrl } from '@src/course-unit/data/api';
 import { COMPONENT_TYPES } from '@src/generic/block-type-utils/constants';
+import { getDownstreamApiUrl } from '@src/generic/unlink-modal/data/api';
 import {
   act, fireEvent, initializeMocks, render, screen, waitFor, within,
 } from '@src/testUtils';
@@ -2440,4 +2441,46 @@ describe('<CourseOutline />', () => {
       expect(outlineIndexLoadingStatus).toEqual(RequestStatus.DENIED);
     });
   });
+
+  it('can unlink library block', async () => {
+    axiosMock
+      .onGet(getCourseOutlineIndexApiUrl(courseId))
+      .reply(200, courseOutlineIndexWithoutSections);
+
+    renderComponent();
+
+    axiosMock
+      .onPost(getXBlockBaseApiUrl())
+      .reply(200, {
+        locator: courseSectionMock.id,
+      });
+    axiosMock
+      .onGet(getXBlockApiUrl(courseSectionMock.id))
+      .reply(200, {
+        ...courseSectionMock,
+        actions: {
+          ...courseSectionMock.actions,
+          unlinkable: true,
+        },
+      });
+    const newSectionButton = (await screen.findAllByRole('button', { name: 'New section' }))[0];
+    fireEvent.click(newSectionButton);
+
+    const element = await screen.findByTestId('section-card');
+    expect(element).toBeInTheDocument();
+
+    axiosMock.onDelete(getDownstreamApiUrl(courseSectionMock.id)).reply(200);
+
+    const menu = await within(element).findByTestId('section-card-header__menu-button');
+    fireEvent.click(menu);
+    const unlinkButton = await within(element).findByRole('button', { name: 'Unlink from Library' });
+    fireEvent.click(unlinkButton);
+    const confirmButton = await screen.findByRole('button', { name: 'Confirm Unlink' });
+    fireEvent.click(confirmButton);
+
+    await waitFor(() => {
+      expect(axiosMock.history.delete).toHaveLength(1);
+    });
+    expect(axiosMock.history.delete[0].url).toBe(getDownstreamApiUrl(courseSectionMock.id));
+  });
 });
diff --git a/src/course-outline/CourseOutline.tsx b/src/course-outline/CourseOutline.tsx
index 0aec6cb48..76d5b0d9b 100644
--- a/src/course-outline/CourseOutline.tsx
+++ b/src/course-outline/CourseOutline.tsx
@@ -27,6 +27,7 @@ import ProcessingNotification from '@src/generic/processing-notification';
 import InternetConnectionAlert from '@src/generic/internet-connection-alert';
 import DeleteModal from '@src/generic/delete-modal/DeleteModal';
 import ConfigureModal from '@src/generic/configure-modal/ConfigureModal';
+import { UnlinkModal } from '@src/generic/unlink-modal';
 import AlertMessage from '@src/generic/alert-message';
 import getPageHeadTitle from '@src/generic/utils';
 import CourseOutlineHeaderActionsSlot from '@src/plugin-slots/CourseOutlineHeaderActionsSlot';
@@ -90,13 +91,16 @@ const CourseOutline = ({ courseId }: CourseOutlineProps) => {
     isPublishModalOpen,
     isConfigureModalOpen,
     isDeleteModalOpen,
+    isUnlinkModalOpen,
     closeHighlightsModal,
     closePublishModal,
     handleConfigureModalClose,
     closeDeleteModal,
+    closeUnlinkModal,
     openPublishModal,
     openConfigureModal,
     openDeleteModal,
+    openUnlinkModal,
     headerNavigationsActions,
     openEnableHighlightsModal,
     closeEnableHighlightsModal,
@@ -111,6 +115,7 @@ const CourseOutline = ({ courseId }: CourseOutlineProps) => {
     handlePublishItemSubmit,
     handleEditSubmit,
     handleDeleteItemSubmit,
+    handleUnlinkItemSubmit,
     handleDuplicateSectionSubmit,
     handleDuplicateSubsectionSubmit,
     handleDuplicateUnitSubmit,
@@ -168,7 +173,9 @@ const CourseOutline = ({ courseId }: CourseOutlineProps) => {
   } = useSelector(getProcessingNotification);
 
   const currentItemData = useSelector(getCurrentItem);
-  const deleteCategory = COURSE_BLOCK_NAMES[currentItemData.category]?.name.toLowerCase();
+
+  const itemCategory = currentItemData?.category;
+  const itemCategoryName = COURSE_BLOCK_NAMES[itemCategory]?.name.toLowerCase();
 
   const enableProctoredExams = useSelector(getProctoredExamsFlag);
   const enableTimedExams = useSelector(getTimedExamsFlag);
@@ -372,6 +379,7 @@ const CourseOutline = ({ courseId }: CourseOutlineProps) => {
                                     onOpenPublishModal={openPublishModal}
                                     onOpenConfigureModal={openConfigureModal}
                                     onOpenDeleteModal={openDeleteModal}
+                                    onOpenUnlinkModal={openUnlinkModal}
                                     onEditSectionSubmit={handleEditSubmit}
                                     onDuplicateSubmit={handleDuplicateSectionSubmit}
                                     isSectionsExpanded={isSectionsExpanded}
@@ -403,6 +411,7 @@ const CourseOutline = ({ courseId }: CourseOutlineProps) => {
                                           savingStatus={savingStatus}
                                           onOpenPublishModal={openPublishModal}
                                           onOpenDeleteModal={openDeleteModal}
+                                          onOpenUnlinkModal={openUnlinkModal}
                                           onEditSubmit={handleEditSubmit}
                                           onDuplicateSubmit={handleDuplicateSubsectionSubmit}
                                           onOpenConfigureModal={openConfigureModal}
@@ -438,6 +447,7 @@ const CourseOutline = ({ courseId }: CourseOutlineProps) => {
                                                 onOpenPublishModal={openPublishModal}
                                                 onOpenConfigureModal={openConfigureModal}
                                                 onOpenDeleteModal={openDeleteModal}
+                                                onOpenUnlinkModal={openUnlinkModal}
                                                 onEditSubmit={handleEditSubmit}
                                                 onDuplicateSubmit={handleDuplicateUnitSubmit}
                                                 getTitleLink={getUnitUrl}
@@ -514,11 +524,18 @@ const CourseOutline = ({ courseId }: CourseOutlineProps) => {
           isSelfPaced={statusBarData.isSelfPaced}
         />
         <DeleteModal
-          category={deleteCategory}
+          category={itemCategoryName}
           isOpen={isDeleteModalOpen}
           close={closeDeleteModal}
           onDeleteSubmit={handleDeleteItemSubmit}
         />
+        <UnlinkModal
+          displayName={currentItemData?.displayName}
+          category={itemCategory}
+          isOpen={isUnlinkModalOpen}
+          close={closeUnlinkModal}
+          onUnlinkSubmit={handleUnlinkItemSubmit}
+        />
         <StandardModal
           title={intl.formatMessage(messages.sectionPickerModalTitle)}
           isOpen={isAddLibrarySectionModalOpen}
diff --git a/src/course-outline/card-header/CardHeader.scss b/src/course-outline/card-header/CardHeader.scss
index 0d01c8fb4..ffa8712a7 100644
--- a/src/course-outline/card-header/CardHeader.scss
+++ b/src/course-outline/card-header/CardHeader.scss
@@ -37,4 +37,11 @@
       opacity: 1;
     }
   }
+
+  .allow-hover-on-disabled {
+    &.disabled {
+      pointer-events: auto;
+      cursor: default;
+    }
+  }
 }
diff --git a/src/course-outline/card-header/CardHeader.test.tsx b/src/course-outline/card-header/CardHeader.test.tsx
index d7b6c860b..8adc35e9e 100644
--- a/src/course-outline/card-header/CardHeader.test.tsx
+++ b/src/course-outline/card-header/CardHeader.test.tsx
@@ -13,6 +13,7 @@ const onClickMenuButtonMock = jest.fn();
 const onClickPublishMock = jest.fn();
 const onClickEditMock = jest.fn();
 const onClickDeleteMock = jest.fn();
+const onClickUnlinkMock = jest.fn();
 const onClickDuplicateMock = jest.fn();
 const onClickConfigureMock = jest.fn();
 const onClickMoveUpMock = jest.fn();
@@ -39,6 +40,7 @@ const cardHeaderProps = {
   closeForm: closeFormMock,
   isDisabledEditField: false,
   onClickDelete: onClickDeleteMock,
+  onClickUnlink: onClickUnlinkMock,
   onClickDuplicate: onClickDuplicateMock,
   onClickConfigure: onClickConfigureMock,
   onClickMoveUp: onClickMoveUpMock,
@@ -50,6 +52,7 @@ const cardHeaderProps = {
     childAddable: true,
     deletable: true,
     duplicable: true,
+    unlinkable: true,
   },
 };
 
@@ -273,6 +276,16 @@ describe('<CardHeader />', () => {
     expect(onClickDeleteMock).toHaveBeenCalledTimes(1);
   });
 
+  it('calls onClickUnlink when item is clicked', async () => {
+    renderComponent();
+
+    const menuButton = await screen.findByTestId('subsection-card-header__menu-button');
+    await act(async () => fireEvent.click(menuButton));
+    const unlinkMenuItem = await screen.findByText(messages.menuUnlink.defaultMessage);
+    await act(async () => fireEvent.click(unlinkMenuItem));
+    expect(onClickUnlinkMock).toHaveBeenCalledTimes(1);
+  });
+
   it('calls onClickDuplicate when item is clicked', async () => {
     renderComponent();
 
@@ -377,4 +390,54 @@ describe('<CardHeader />', () => {
 
     expect(mockClickSync).toHaveBeenCalled();
   });
+
+  [null, undefined].forEach((unlinkable) => (
+    it(`should not render unlink button if unlinkable action is ${unlinkable}`, async () => {
+      renderComponent({
+        ...cardHeaderProps,
+        actions: {
+          ...cardHeaderProps.actions,
+          unlinkable,
+        },
+      });
+
+      const menuButton = await screen.findByTestId('subsection-card-header__menu-button');
+      fireEvent.click(menuButton);
+
+      expect(screen.queryByText(messages.menuUnlink.defaultMessage)).not.toBeInTheDocument();
+    })
+  ));
+
+  it('should render unlink button disabled if unlinkable action is False', async () => {
+    renderComponent({
+      ...cardHeaderProps,
+      actions: {
+        ...cardHeaderProps.actions,
+        unlinkable: false,
+      },
+    });
+    const menuButton = await screen.findByTestId('subsection-card-header__menu-button');
+    fireEvent.click(menuButton);
+
+    const unlinkMenuItem = await screen.findByText(messages.menuUnlink.defaultMessage);
+    expect(unlinkMenuItem).toBeInTheDocument();
+    expect(unlinkMenuItem).toHaveAttribute('aria-disabled', 'true');
+  });
+
+  it('should render unlink button disabled if unlinkable action is False', async () => {
+    renderComponent({
+      ...cardHeaderProps,
+      actions: {
+        ...cardHeaderProps.actions,
+        unlinkable: true,
+      },
+    });
+    const menuButton = await screen.findByTestId('subsection-card-header__menu-button');
+    fireEvent.click(menuButton);
+
+    const unlinkMenuItem = await screen.findByText(messages.menuUnlink.defaultMessage);
+    fireEvent.click(unlinkMenuItem);
+    await act(async () => fireEvent.click(unlinkMenuItem));
+    expect(onClickUnlinkMock).toHaveBeenCalled();
+  });
 });
diff --git a/src/course-outline/card-header/CardHeader.tsx b/src/course-outline/card-header/CardHeader.tsx
index ed894036c..ba8870e3f 100644
--- a/src/course-outline/card-header/CardHeader.tsx
+++ b/src/course-outline/card-header/CardHeader.tsx
@@ -43,6 +43,7 @@ interface CardHeaderProps {
   closeForm: () => void;
   isDisabledEditField: boolean;
   onClickDelete: () => void;
+  onClickUnlink: () => void;
   onClickDuplicate: () => void;
   onClickMoveUp: () => void;
   onClickMoveDown: () => void;
@@ -84,6 +85,7 @@ const CardHeader = ({
   closeForm,
   isDisabledEditField,
   onClickDelete,
+  onClickUnlink,
   onClickDuplicate,
   onClickMoveUp,
   onClickMoveDown,
@@ -282,9 +284,20 @@ const CardHeader = ({
                   </Dropdown.Item>
                 </>
               )}
+              {((actions.unlinkable ?? null) !== null || actions.deletable) && <Dropdown.Divider />}
+              {(actions.unlinkable ?? null) !== null && (
+                <Dropdown.Item
+                  data-testid={`${namePrefix}-card-header__menu-unlink-button`}
+                  onClick={onClickUnlink}
+                  disabled={!actions.unlinkable}
+                  className="allow-hover-on-disabled"
+                  title={!actions.unlinkable ? intl.formatMessage(messages.menuUnlinkDisabledTooltip) : undefined}
+                >
+                  {intl.formatMessage(messages.menuUnlink)}
+                </Dropdown.Item>
+              )}
               {actions.deletable && (
                 <Dropdown.Item
-                  className="border-top border-light"
                   data-testid={`${namePrefix}-card-header__menu-delete-button`}
                   onClick={onClickDelete}
                 >
diff --git a/src/course-outline/card-header/messages.js b/src/course-outline/card-header/messages.js
index e39fbb178..dd32c3b42 100644
--- a/src/course-outline/card-header/messages.js
+++ b/src/course-outline/card-header/messages.js
@@ -61,6 +61,16 @@ const messages = defineMessages({
     id: 'course-authoring.course-outline.card.menu.delete',
     defaultMessage: 'Delete',
   },
+  menuUnlink: {
+    id: 'course-authoring.course-outline.card.menu.unlink',
+    defaultMessage: 'Unlink from Library',
+    description: 'Unlink an item from the library',
+  },
+  menuUnlinkDisabledTooltip: {
+    id: 'course-authoring.course-outline.card.menu.unlink.disabled-tooltip',
+    defaultMessage: 'Only the highest level library reference can be unlinked.',
+    description: 'Tooltip for disabled unlink option',
+  },
   menuCopy: {
     id: 'course-authoring.course-outline.card.menu.copy',
     defaultMessage: 'Copy to clipboard',
diff --git a/src/course-outline/data/slice.ts b/src/course-outline/data/slice.ts
index 9e504ce50..e868eaf7e 100644
--- a/src/course-outline/data/slice.ts
+++ b/src/course-outline/data/slice.ts
@@ -40,6 +40,7 @@ const initialState = {
   currentItem: {},
   actions: {
     deletable: true,
+    unlinkable: false,
     draggable: true,
     childAddable: true,
     duplicable: true,
diff --git a/src/course-outline/hooks.jsx b/src/course-outline/hooks.jsx
index f5fea7d97..4ad0210c9 100644
--- a/src/course-outline/hooks.jsx
+++ b/src/course-outline/hooks.jsx
@@ -8,6 +8,8 @@ import moment from 'moment';
 import { getSavingStatus as getGenericSavingStatus } from '@src/generic/data/selectors';
 import { useWaffleFlags } from '@src/data/apiHooks';
 import { RequestStatus } from '@src/data/constants';
+import { useUnlinkDownstream } from '@src/generic/unlink-modal';
+
 import { COURSE_BLOCK_NAMES } from './constants';
 import {
   addSection,
@@ -102,6 +104,7 @@ const useCourseOutline = ({ courseId }) => {
   const [isPublishModalOpen, openPublishModal, closePublishModal] = useToggle(false);
   const [isConfigureModalOpen, openConfigureModal, closeConfigureModal] = useToggle(false);
   const [isDeleteModalOpen, openDeleteModal, closeDeleteModal] = useToggle(false);
+  const [isUnlinkModalOpen, openUnlinkModal, closeUnlinkModal] = useToggle(false);
   const [
     isAddLibrarySectionModalOpen,
     openAddLibrarySectionModal,
@@ -265,6 +268,19 @@ const useCourseOutline = ({ courseId }) => {
     closeDeleteModal();
   };
 
+  const { mutateAsync: unlinkDownstream } = useUnlinkDownstream();
+
+  const handleUnlinkItemSubmit = async () => {
+    // istanbul ignore if: this should never happen
+    if (!currentItem.id) {
+      return;
+    }
+
+    await unlinkDownstream(currentItem.id);
+    dispatch(fetchCourseOutlineIndexQuery(courseId));
+    closeUnlinkModal();
+  };
+
   const handleDuplicateSectionSubmit = () => {
     dispatch(duplicateSectionQuery(currentSection.id, courseStructure.id));
   };
@@ -382,7 +398,11 @@ const useCourseOutline = ({ courseId }) => {
     isDeleteModalOpen,
     closeDeleteModal,
     openDeleteModal,
+    isUnlinkModalOpen,
+    closeUnlinkModal,
+    openUnlinkModal,
     handleDeleteItemSubmit,
+    handleUnlinkItemSubmit,
     handleDuplicateSectionSubmit,
     handleDuplicateSubsectionSubmit,
     handleDuplicateUnitSubmit,
diff --git a/src/course-outline/section-card/SectionCard.test.tsx b/src/course-outline/section-card/SectionCard.test.tsx
index e57ca27ae..117ebe89c 100644
--- a/src/course-outline/section-card/SectionCard.test.tsx
+++ b/src/course-outline/section-card/SectionCard.test.tsx
@@ -86,6 +86,7 @@ const renderComponent = (props?: object, entry = '/course/:courseId') => render(
     onOpenPublishModal={jest.fn()}
     onOpenHighlightsModal={jest.fn()}
     onOpenDeleteModal={jest.fn()}
+    onOpenUnlinkModal={jest.fn()}
     onOpenConfigureModal={jest.fn()}
     savingStatus=""
     onEditSectionSubmit={onEditSectionSubmit}
diff --git a/src/course-outline/section-card/SectionCard.tsx b/src/course-outline/section-card/SectionCard.tsx
index 475957acf..3bdafe683 100644
--- a/src/course-outline/section-card/SectionCard.tsx
+++ b/src/course-outline/section-card/SectionCard.tsx
@@ -41,6 +41,7 @@ interface SectionCardProps {
   onEditSectionSubmit: (itemId: string, sectionId: string, displayName: string) => void,
   savingStatus: string,
   onOpenDeleteModal: () => void,
+  onOpenUnlinkModal: () => void,
   onDuplicateSubmit: () => void,
   isSectionsExpanded: boolean,
   onNewSubsectionSubmit: (id: string) => void,
@@ -64,6 +65,7 @@ const SectionCard = ({
   onEditSectionSubmit,
   savingStatus,
   onOpenDeleteModal,
+  onOpenUnlinkModal,
   onDuplicateSubmit,
   isSectionsExpanded,
   onNewSubsectionSubmit,
@@ -292,6 +294,7 @@ const SectionCard = ({
                 onClickConfigure={onOpenConfigureModal}
                 onClickEdit={openForm}
                 onClickDelete={onOpenDeleteModal}
+                onClickUnlink={onOpenUnlinkModal}
                 onClickMoveUp={handleSectionMoveUp}
                 onClickMoveDown={handleSectionMoveDown}
                 onClickSync={openSyncModal}
diff --git a/src/course-outline/subsection-card/SubsectionCard.test.tsx b/src/course-outline/subsection-card/SubsectionCard.test.tsx
index 35582c817..c8c3576bd 100644
--- a/src/course-outline/subsection-card/SubsectionCard.test.tsx
+++ b/src/course-outline/subsection-card/SubsectionCard.test.tsx
@@ -111,6 +111,7 @@ const renderComponent = (props?: object, entry = '/course/:courseId') => render(
     onOrderChange={jest.fn()}
     onOpenPublishModal={jest.fn()}
     onOpenDeleteModal={jest.fn()}
+    onOpenUnlinkModal={jest.fn()}
     onNewUnitSubmit={jest.fn()}
     onAddUnitFromLibrary={handleOnAddUnitFromLibrary}
     isCustomRelativeDatesActive={false}
diff --git a/src/course-outline/subsection-card/SubsectionCard.tsx b/src/course-outline/subsection-card/SubsectionCard.tsx
index 5ceb79d83..8dda3ac94 100644
--- a/src/course-outline/subsection-card/SubsectionCard.tsx
+++ b/src/course-outline/subsection-card/SubsectionCard.tsx
@@ -42,6 +42,7 @@ interface SubsectionCardProps {
   onEditSubmit: (itemId: string, sectionId: string, displayName: string) => void,
   savingStatus: string,
   onOpenDeleteModal: () => void,
+  onOpenUnlinkModal: () => void,
   onDuplicateSubmit: () => void,
   onNewUnitSubmit: (subsectionId: string) => void,
   onAddUnitFromLibrary: (options: {
@@ -74,6 +75,7 @@ const SubsectionCard = ({
   onEditSubmit,
   savingStatus,
   onOpenDeleteModal,
+  onOpenUnlinkModal,
   onDuplicateSubmit,
   onNewUnitSubmit,
   onAddUnitFromLibrary,
@@ -293,6 +295,7 @@ const SubsectionCard = ({
                 onClickPublish={onOpenPublishModal}
                 onClickEdit={openForm}
                 onClickDelete={onOpenDeleteModal}
+                onClickUnlink={onOpenUnlinkModal}
                 onClickMoveUp={handleSubsectionMoveUp}
                 onClickMoveDown={handleSubsectionMoveDown}
                 onClickConfigure={onOpenConfigureModal}
diff --git a/src/course-outline/unit-card/UnitCard.test.tsx b/src/course-outline/unit-card/UnitCard.test.tsx
index 5792ee603..d6d5c15b4 100644
--- a/src/course-outline/unit-card/UnitCard.test.tsx
+++ b/src/course-outline/unit-card/UnitCard.test.tsx
@@ -79,6 +79,7 @@ const renderComponent = (props?: object) => render(
     onOrderChange={jest.fn()}
     onOpenPublishModal={jest.fn()}
     onOpenDeleteModal={jest.fn()}
+    onOpenUnlinkModal={jest.fn()}
     onOpenConfigureModal={jest.fn()}
     savingStatus=""
     onEditSubmit={jest.fn()}
diff --git a/src/course-outline/unit-card/UnitCard.tsx b/src/course-outline/unit-card/UnitCard.tsx
index 6119c180b..69e9cbcf3 100644
--- a/src/course-outline/unit-card/UnitCard.tsx
+++ b/src/course-outline/unit-card/UnitCard.tsx
@@ -35,6 +35,7 @@ interface UnitCardProps {
   onEditSubmit: (itemId: string, sectionId: string, displayName: string) => void,
   savingStatus: string;
   onOpenDeleteModal: () => void;
+  onOpenUnlinkModal: () => void;
   onDuplicateSubmit: () => void;
   getTitleLink: (locator: string) => string;
   index: number;
@@ -61,6 +62,7 @@ const UnitCard = ({
   onEditSubmit,
   savingStatus,
   onOpenDeleteModal,
+  onOpenUnlinkModal,
   onDuplicateSubmit,
   getTitleLink,
   onOrderChange,
@@ -238,6 +240,7 @@ const UnitCard = ({
             onClickConfigure={onOpenConfigureModal}
             onClickEdit={openForm}
             onClickDelete={onOpenDeleteModal}
+            onClickUnlink={onOpenUnlinkModal}
             onClickMoveUp={handleUnitMoveUp}
             onClickMoveDown={handleUnitMoveDown}
             onClickSync={openSyncModal}
diff --git a/src/course-unit/CourseUnit.test.jsx b/src/course-unit/CourseUnit.test.jsx
index 60305c385..31c973255 100644
--- a/src/course-unit/CourseUnit.test.jsx
+++ b/src/course-unit/CourseUnit.test.jsx
@@ -1,7 +1,7 @@
 import MockAdapter from 'axios-mock-adapter';
 import { QueryClient, QueryClientProvider } from '@tanstack/react-query';
 import {
-  act, render, waitFor, within, screen,
+  act, fireEvent, render, waitFor, within, screen,
 } from '@testing-library/react';
 import userEvent from '@testing-library/user-event';
 import { IntlProvider } from '@edx/frontend-platform/i18n';
@@ -15,6 +15,13 @@ import {
 import { getAuthenticatedHttpClient } from '@edx/frontend-platform/auth';
 import { cloneDeep, set } from 'lodash';
 
+import { IFRAME_FEATURE_POLICY } from '@src/constants';
+import { mockWaffleFlags } from '@src/data/apiHooks.mock';
+import pasteComponentMessages from '@src/generic/clipboard/paste-component/messages';
+import { getClipboardUrl } from '@src/generic/data/api';
+import { IframeProvider } from '@src/generic/hooks/context/iFrameContext';
+import { getDownstreamApiUrl } from '@src/generic/unlink-modal/data/api';
+
 import {
   getCourseSectionVerticalApiUrl,
   getCourseVerticalChildrenApiUrl,
@@ -42,8 +49,6 @@ import {
 } from './__mocks__';
 import { clipboardUnit } from '../__mocks__';
 import { executeThunk } from '../utils';
-import { IFRAME_FEATURE_POLICY } from '../constants';
-import pasteComponentMessages from '../generic/clipboard/paste-component/messages';
 import pasteNotificationsMessages from './clipboard/paste-notification/messages';
 import headerTitleMessages from './header-title/messages';
 import courseSequenceMessages from './course-sequence/messages';
@@ -51,18 +56,15 @@ import { extractCourseUnitId } from './sidebar/utils';
 import CourseUnit from './CourseUnit';
 
 import tagsDrawerMessages from '../content-tags-drawer/messages';
-import { getClipboardUrl } from '../generic/data/api';
 import configureModalMessages from '../generic/configure-modal/messages';
 import { getContentTaxonomyTagsApiUrl, getContentTaxonomyTagsCountApiUrl } from '../content-tags-drawer/data/api';
 import addComponentMessages from './add-component/messages';
 import { messageTypes, PUBLISH_TYPES, UNIT_VISIBILITY_STATES } from './constants';
-import { IframeProvider } from '../generic/hooks/context/iFrameContext';
 import moveModalMessages from './move-modal/messages';
 import xblockContainerIframeMessages from './xblock-container-iframe/messages';
 import headerNavigationsMessages from './header-navigations/messages';
 import sidebarMessages from './sidebar/messages';
 import messages from './messages';
-import { mockWaffleFlags } from '../data/apiHooks.mock';
 
 let axiosMock;
 let store;
@@ -465,6 +467,35 @@ describe('<CourseUnit />', () => {
     });
   });
 
+  it('checks if the xblock unlink is called when the corresponding unlink button is clicked', async () => {
+    render(<RootWrapper />);
+    const usageId = courseVerticalChildrenMock.children[0].block_id;
+    axiosMock
+      .onDelete(getDownstreamApiUrl(usageId))
+      .reply(200);
+
+    await waitFor(() => {
+      const iframe = screen.getByTitle(xblockContainerIframeMessages.xblockIframeTitle.defaultMessage);
+      expect(iframe).toBeInTheDocument();
+    });
+
+    simulatePostMessageEvent(messageTypes.unlinkXBlock, {
+      usageId,
+    });
+    expect(await screen.findByText(/Unlink this component?/i)).toBeInTheDocument();
+
+    const dialog = await screen.findByRole('dialog');
+    // Find the Unlink button
+    const unlinkButton = await within(dialog).findByRole('button', { name: /confirm unlink/i });
+    expect(unlinkButton).toBeInTheDocument();
+    fireEvent.click(unlinkButton);
+
+    await waitFor(() => {
+      expect(axiosMock.history.delete.length).toBe(1);
+    });
+    expect(axiosMock.history.delete[0].url).toBe(getDownstreamApiUrl(usageId));
+  });
+
   it('checks if xblock is a duplicate when the corresponding duplicate button is clicked and if the sidebar status is updated', async () => {
     const user = userEvent.setup();
     render(<RootWrapper />);
diff --git a/src/course-unit/constants.js b/src/course-unit/constants.js
index dcea2f603..2da4dee30 100644
--- a/src/course-unit/constants.js
+++ b/src/course-unit/constants.js
@@ -52,6 +52,7 @@ export const messageTypes = {
   manageXBlockAccess: 'manageXBlockAccess',
   completeManageXBlockAccess: 'completeManageXBlockAccess',
   deleteXBlock: 'deleteXBlock',
+  unlinkXBlock: 'unlinkXBlock',
   completeXBlockDeleting: 'completeXBlockDeleting',
   duplicateXBlock: 'duplicateXBlock',
   completeXBlockDuplicating: 'completeXBlockDuplicating',
diff --git a/src/course-unit/hooks.jsx b/src/course-unit/hooks.jsx
index b1e6cea33..dac48c538 100644
--- a/src/course-unit/hooks.jsx
+++ b/src/course-unit/hooks.jsx
@@ -6,10 +6,13 @@ import { useNavigate, useSearchParams } from 'react-router-dom';
 import { useToggle } from '@openedx/paragon';
 import { camelCaseObject } from '@edx/frontend-platform/utils';
 
-import { RequestStatus } from '../data/constants';
-import { useClipboard } from '../generic/clipboard';
-import { useEventListener } from '../generic/hooks';
-import { COURSE_BLOCK_NAMES, iframeMessageTypes } from '../constants';
+import { useUnlinkDownstream } from '@src/generic/unlink-modal';
+import { RequestStatus } from '@src/data/constants';
+import { useClipboard } from '@src/generic/clipboard';
+import { useEventListener } from '@src/generic/hooks';
+import { useIframe } from '@src/generic/hooks/context/hooks';
+import { COURSE_BLOCK_NAMES, iframeMessageTypes } from '@src/constants';
+
 import { messageTypes, PUBLISH_TYPES } from './constants';
 import {
   createNewCourseXBlock,
@@ -40,7 +43,6 @@ import {
   updateMovedXBlockParams,
   updateQueryPendingStatus,
 } from './data/slice';
-import { useIframe } from '../generic/hooks/context/hooks';
 
 export const useCourseUnit = ({ courseId, blockId }) => {
   const dispatch = useDispatch();
@@ -129,6 +131,8 @@ export const useCourseUnit = ({ courseId, blockId }) => {
     dispatch(createNewCourseXBlock(body, callback, blockId, sendMessageToIframe))
   );
 
+  const { mutateAsync: unlinkDownstream } = useUnlinkDownstream();
+
   const unitXBlockActions = {
     handleDelete: (XBlockId) => {
       dispatch(deleteUnitItemQuery(blockId, XBlockId, sendMessageToIframe));
@@ -140,6 +144,10 @@ export const useCourseUnit = ({ courseId, blockId }) => {
         (courseKey, locator) => sendMessageToIframe(messageTypes.completeXBlockDuplicating, { courseKey, locator }),
       ));
     },
+    handleUnlink: async (XBlockId) => {
+      await unlinkDownstream(XBlockId);
+      dispatch(fetchCourseVerticalChildrenData(blockId, isSplitTestType));
+    },
   };
 
   const handleRollbackMovedXBlock = () => {
diff --git a/src/course-unit/xblock-container-iframe/hooks/tests/hooks.test.tsx b/src/course-unit/xblock-container-iframe/hooks/tests/hooks.test.tsx
index 0f4fe41ed..7c7826a01 100644
--- a/src/course-unit/xblock-container-iframe/hooks/tests/hooks.test.tsx
+++ b/src/course-unit/xblock-container-iframe/hooks/tests/hooks.test.tsx
@@ -44,6 +44,7 @@ describe('useMessageHandlers', () => {
       dispatch: jest.fn(),
       setIframeOffset: jest.fn(),
       handleDeleteXBlock: jest.fn(),
+      handleUnlinkXBlock: jest.fn(),
       handleDuplicateXBlock: jest.fn(),
       handleScrollToXBlock: jest.fn(),
       handleManageXBlockAccess: jest.fn(),
diff --git a/src/course-unit/xblock-container-iframe/hooks/types.ts b/src/course-unit/xblock-container-iframe/hooks/types.ts
index 3c54a90f2..9d06598fb 100644
--- a/src/course-unit/xblock-container-iframe/hooks/types.ts
+++ b/src/course-unit/xblock-container-iframe/hooks/types.ts
@@ -3,6 +3,7 @@ export type UseMessageHandlersTypes = {
   dispatch: (action: any) => void;
   setIframeOffset: (height: number) => void;
   handleDeleteXBlock: (usageId: string) => void;
+  handleUnlinkXBlock: (usageId: string) => void;
   handleScrollToXBlock: (scrollOffset: number) => void;
   handleDuplicateXBlock: (usageId: string) => void;
   handleEditXBlock: (blockType: string, usageId: string) => void;
diff --git a/src/course-unit/xblock-container-iframe/hooks/useMessageHandlers.tsx b/src/course-unit/xblock-container-iframe/hooks/useMessageHandlers.tsx
index daae1b822..afbab8a2a 100644
--- a/src/course-unit/xblock-container-iframe/hooks/useMessageHandlers.tsx
+++ b/src/course-unit/xblock-container-iframe/hooks/useMessageHandlers.tsx
@@ -20,6 +20,7 @@ export const useMessageHandlers = ({
   setIframeOffset,
   handleDeleteXBlock,
   handleDuplicateXBlock,
+  handleUnlinkXBlock,
   handleScrollToXBlock,
   handleManageXBlockAccess,
   handleShowLegacyEditXBlockModal,
@@ -36,6 +37,7 @@ export const useMessageHandlers = ({
   return useMemo(() => ({
     [messageTypes.copyXBlock]: ({ usageId }) => copyToClipboard(usageId),
     [messageTypes.deleteXBlock]: ({ usageId }) => handleDeleteXBlock(usageId),
+    [messageTypes.unlinkXBlock]: ({ usageId }) => handleUnlinkXBlock(usageId),
     [messageTypes.newXBlockEditor]: ({ blockType, usageId }) => handleEditXBlock(blockType, usageId),
     [messageTypes.duplicateXBlock]: ({ usageId }) => handleDuplicateXBlock(usageId),
     [messageTypes.manageXBlockAccess]: ({ usageId }) => handleManageXBlockAccess(usageId),
@@ -62,6 +64,7 @@ export const useMessageHandlers = ({
   }), [
     courseId,
     handleDeleteXBlock,
+    handleUnlinkXBlock,
     handleDuplicateXBlock,
     handleManageXBlockAccess,
     handleScrollToXBlock,
diff --git a/src/course-unit/xblock-container-iframe/index.tsx b/src/course-unit/xblock-container-iframe/index.tsx
index d706de352..2507c2f8a 100644
--- a/src/course-unit/xblock-container-iframe/index.tsx
+++ b/src/course-unit/xblock-container-iframe/index.tsx
@@ -9,34 +9,36 @@ import { useDispatch } from 'react-redux';
 import {
   hideProcessingNotification,
   showProcessingNotification,
-} from '../../generic/processing-notification/data/slice';
-import DeleteModal from '../../generic/delete-modal/DeleteModal';
-import ConfigureModal from '../../generic/configure-modal/ConfigureModal';
-import ModalIframe from '../../generic/modal-iframe';
-import { useWaffleFlags } from '../../data/apiHooks';
-import { IFRAME_FEATURE_POLICY } from '../../constants';
-import ContentTagsDrawer from '../../content-tags-drawer/ContentTagsDrawer';
-import { useIframe } from '../../generic/hooks/context/hooks';
+} from '@src/generic/processing-notification/data/slice';
+import DeleteModal from '@src/generic/delete-modal/DeleteModal';
+import ConfigureModal from '@src/generic/configure-modal/ConfigureModal';
+import ModalIframe from '@src/generic/modal-iframe';
+import { useWaffleFlags } from '@src/data/apiHooks';
+import { IFRAME_FEATURE_POLICY } from '@src/constants';
+import ContentTagsDrawer from '@src/content-tags-drawer/ContentTagsDrawer';
+import { useIframe } from '@src/generic/hooks/context/hooks';
+import { useIframeBehavior } from '@src/generic/hooks/useIframeBehavior';
+import { useIframeContent } from '@src/generic/hooks/useIframeContent';
+import { useIframeMessages } from '@src/generic/hooks/useIframeMessages';
+import { UnlinkModal } from '@src/generic/unlink-modal';
+import VideoSelectorPage from '@src/editors/VideoSelectorPage';
+import EditorPage from '@src/editors/EditorPage';
+
+import { messageTypes } from '../constants';
 import {
   fetchCourseSectionVerticalData,
   fetchCourseVerticalChildrenData,
   updateCourseUnitSidebar,
 } from '../data/thunk';
-import { messageTypes } from '../constants';
 import {
   useMessageHandlers,
 } from './hooks';
+import messages from './messages';
 import {
   XBlockContainerIframeProps,
   AccessManagedXBlockDataTypes,
 } from './types';
 import { formatAccessManagedXBlockData, getIframeUrl, getLegacyEditModalUrl } from './utils';
-import messages from './messages';
-import { useIframeBehavior } from '../../generic/hooks/useIframeBehavior';
-import { useIframeContent } from '../../generic/hooks/useIframeContent';
-import { useIframeMessages } from '../../generic/hooks/useIframeMessages';
-import VideoSelectorPage from '../../editors/VideoSelectorPage';
-import EditorPage from '../../editors/EditorPage';
 
 const XBlockContainerIframe: FC<XBlockContainerIframeProps> = ({
   courseId, blockId, unitXBlockActions, courseVerticalChildren, handleConfigureSubmit, isUnitVerticalType,
@@ -45,6 +47,7 @@ const XBlockContainerIframe: FC<XBlockContainerIframeProps> = ({
   const dispatch = useDispatch();
 
   const [isDeleteModalOpen, openDeleteModal, closeDeleteModal] = useToggle(false);
+  const [isUnlinkModalOpen, openUnlinkModal, closeUnlinkModal] = useToggle(false);
   const [isConfigureModalOpen, openConfigureModal, closeConfigureModal] = useToggle(false);
   const [isVideoSelectorModalOpen, showVideoSelectorModal, closeVideoSelectorModal] = useToggle();
   const [isXBlockEditorModalOpen, showXBlockEditorModal, closeXBlockEditorModal] = useToggle();
@@ -54,6 +57,7 @@ const XBlockContainerIframe: FC<XBlockContainerIframeProps> = ({
   const [accessManagedXBlockData, setAccessManagedXBlockData] = useState<AccessManagedXBlockDataTypes | {}>({});
   const [iframeOffset, setIframeOffset] = useState(0);
   const [deleteXBlockId, setDeleteXBlockId] = useState<string | null>(null);
+  const [unlinkXBlockId, setUnlinkXBlockId] = useState<string | null>(null);
   const [configureXBlockId, setConfigureXBlockId] = useState<string | null>(null);
   const [showLegacyEditModal, setShowLegacyEditModal] = useState<boolean>(false);
   const [isManageTagsOpen, openManageTagsModal, closeManageTagsModal] = useToggle(false);
@@ -98,6 +102,11 @@ const XBlockContainerIframe: FC<XBlockContainerIframeProps> = ({
     openDeleteModal();
   };
 
+  const handleUnlinkXBlock = (usageId: string) => {
+    setUnlinkXBlockId(usageId);
+    openUnlinkModal();
+  };
+
   const handleManageXBlockAccess = (usageId: string) => {
     openConfigureModal();
     setConfigureXBlockId(usageId);
@@ -114,6 +123,13 @@ const XBlockContainerIframe: FC<XBlockContainerIframeProps> = ({
     }
   };
 
+  const onUnlinkSubmit = () => {
+    if (unlinkXBlockId) {
+      unitXBlockActions.handleUnlink(unlinkXBlockId);
+      closeUnlinkModal();
+    }
+  };
+
   const onManageXBlockAccessSubmit = (...args: any[]) => {
     if (configureXBlockId) {
       handleConfigureSubmit(configureXBlockId, ...args, closeConfigureModal);
@@ -171,6 +187,7 @@ const XBlockContainerIframe: FC<XBlockContainerIframeProps> = ({
     dispatch,
     setIframeOffset,
     handleDeleteXBlock,
+    handleUnlinkXBlock,
     handleDuplicateXBlock,
     handleManageXBlockAccess,
     handleScrollToXBlock,
@@ -200,6 +217,12 @@ const XBlockContainerIframe: FC<XBlockContainerIframeProps> = ({
         close={closeDeleteModal}
         onDeleteSubmit={onDeleteSubmit}
       />
+      <UnlinkModal
+        category="component"
+        isOpen={isUnlinkModalOpen}
+        close={closeUnlinkModal}
+        onUnlinkSubmit={onUnlinkSubmit}
+      />
       <StandardModal
         title={intl.formatMessage(messages.videoPickerModalTitle)}
         isOpen={isVideoSelectorModalOpen}
diff --git a/src/course-unit/xblock-container-iframe/types.ts b/src/course-unit/xblock-container-iframe/types.ts
index 89ac1b79b..a4051cbe3 100644
--- a/src/course-unit/xblock-container-iframe/types.ts
+++ b/src/course-unit/xblock-container-iframe/types.ts
@@ -33,6 +33,7 @@ export interface XBlockContainerIframeProps {
   unitXBlockActions: {
     handleDelete: (XBlockId: string | null) => void;
     handleDuplicate: (XBlockId: string | null) => void;
+    handleUnlink: (XBlockId: string | null) => void;
   };
   courseVerticalChildren: Array<XBlockTypes>;
   handleConfigureSubmit: (XBlockId: string, ...args: any[]) => void;
diff --git a/src/data/types.ts b/src/data/types.ts
index c2ac2a469..dc41af3b1 100644
--- a/src/data/types.ts
+++ b/src/data/types.ts
@@ -33,6 +33,7 @@ export interface XBlockActions {
   draggable: boolean;
   childAddable: boolean;
   duplicable: boolean;
+  unlinkable?: boolean;
   allowMoveDown?: boolean;
   allowMoveUp?: boolean;
 }
diff --git a/src/generic/key-utils.ts b/src/generic/key-utils.ts
index 6fc9b6ec7..7504e362b 100644
--- a/src/generic/key-utils.ts
+++ b/src/generic/key-utils.ts
@@ -27,6 +27,20 @@ export function getLibraryId(usageKey: string): string {
   throw new Error(`Invalid usageKey: ${usageKey}`);
 }
 
+/**
+ * Given a usage key like `block-v1:org:course:html:id`, get the course key
+ */
+export function getCourseKey(usageKey: string): string {
+  const [prefix] = usageKey?.split('@') || [];
+  const [blockType, courseInfo] = prefix?.split(':') || [];
+  const [org, course, run] = courseInfo?.split('+') || [];
+
+  if (blockType === 'block-v1' && org && course && run) {
+    return `course-v1:${org}+${course}+${run}`;
+  }
+  throw new Error(`Invalid usageKey: ${usageKey}`);
+}
+
 /** Check if this is a course key */
 export function isCourseKey(learningContextKey: string | undefined | null): learningContextKey is string {
   return typeof learningContextKey === 'string' && learningContextKey.startsWith('course-v1:');
diff --git a/src/generic/unlink-modal/UnlinkModal.test.jsx b/src/generic/unlink-modal/UnlinkModal.test.jsx
new file mode 100644
index 000000000..2b3de7404
--- /dev/null
+++ b/src/generic/unlink-modal/UnlinkModal.test.jsx
@@ -0,0 +1,80 @@
+import {
+  fireEvent,
+  screen,
+  render as defaultRender,
+  waitFor,
+} from '@testing-library/react';
+import { IntlProvider } from '@edx/frontend-platform/i18n';
+
+import { UnlinkModal } from './UnlinkModal';
+import messages from './messages';
+
+const onUnlinkSubmitMock = jest.fn();
+const closeMock = jest.fn();
+
+const renderforContainer = () => defaultRender(
+  <IntlProvider locale="en">
+    <UnlinkModal
+      isOpen
+      close={closeMock}
+      category="chapter"
+      displayName="Introduction to Testing"
+      onDeleteSubmit={onUnlinkSubmitMock}
+    />
+  </IntlProvider>,
+);
+
+const renderforComponent = () => defaultRender(
+  <IntlProvider locale="en">
+    <UnlinkModal
+      isOpen
+      close={closeMock}
+      category="component"
+      onDeleteSubmit={onUnlinkSubmitMock}
+    />
+  </IntlProvider>,
+);
+
+describe('<UnlinkModal />', () => {
+  it('render UnlinkModal component correctly for containers', () => {
+    renderforContainer();
+
+    expect(screen.getByText('Unlink Introduction to Testing?')).toBeInTheDocument();
+    expect(screen.getByText(/are you sure you want to unlink this library Section reference/i)).toBeInTheDocument();
+    expect(
+      screen.getByText(/subsections contained in this Section will remain linked to their library versions./i),
+    ).toBeInTheDocument();
+    expect(screen.getByRole('button', { name: messages.cancelButton.defaultMessage })).toBeInTheDocument();
+    expect(screen.getByRole('button', { name: messages.unlinkButton.defaultMessage })).toBeInTheDocument();
+  });
+
+  it('render UnlinkModal component correctly for components', () => {
+    renderforComponent();
+
+    expect(screen.getByText('Unlink this component?')).toBeInTheDocument();
+    expect(screen.getByText(/are you sure you want to unlink this library Component reference/i)).toBeInTheDocument();
+    expect(
+      screen.queryByText(/will remain linked to their library versions./i),
+    ).not.toBeInTheDocument();
+    expect(screen.getByRole('button', { name: messages.cancelButton.defaultMessage })).toBeInTheDocument();
+    expect(screen.getByRole('button', { name: messages.unlinkButton.defaultMessage })).toBeInTheDocument();
+  });
+
+  it('calls onDeleteSubmit function when the "Unlink" button is clicked', async () => {
+    renderforContainer();
+
+    const okButton = screen.getByRole('button', { name: messages.unlinkButton.defaultMessage });
+    fireEvent.click(okButton);
+    waitFor(() => {
+      expect(onUnlinkSubmitMock).toHaveBeenCalledTimes(1);
+    });
+  });
+
+  it('calls the close function when the "Cancel" button is clicked', async () => {
+    renderforContainer();
+
+    const cancelButton = screen.getByRole('button', { name: messages.cancelButton.defaultMessage });
+    fireEvent.click(cancelButton);
+    expect(closeMock).toHaveBeenCalledTimes(1);
+  });
+});
diff --git a/src/generic/unlink-modal/UnlinkModal.tsx b/src/generic/unlink-modal/UnlinkModal.tsx
new file mode 100644
index 000000000..55a513064
--- /dev/null
+++ b/src/generic/unlink-modal/UnlinkModal.tsx
@@ -0,0 +1,98 @@
+import {
+  ActionRow,
+  Button,
+  AlertModal,
+} from '@openedx/paragon';
+import { Warning } from '@openedx/paragon/icons';
+import { useIntl } from '@edx/frontend-platform/i18n';
+
+import messages from './messages';
+import LoadingButton from '../loading-button';
+
+const BoldText = (chunk: string[]) => <b>{chunk}</b>;
+
+type UnlinkModalPropsContainer = {
+  displayName?: string;
+  category?: string;
+};
+
+type UnlinkModalPropsComponent = {
+  displayName?: undefined;
+  category: 'component';
+};
+
+type UnlinkModalProps = {
+  isOpen: boolean;
+  close: () => void;
+  onUnlinkSubmit: () => void | Promise<void>,
+} & (UnlinkModalPropsContainer | UnlinkModalPropsComponent);
+
+export const UnlinkModal = ({
+  displayName,
+  category,
+  isOpen,
+  close,
+  onUnlinkSubmit,
+}: UnlinkModalProps) => {
+  const intl = useIntl();
+  if (!category) {
+    // On the first render, the initial value for `category` might be undefined.
+    return null;
+  }
+
+  const isComponent = category === 'component' as const;
+
+  const categoryName = intl.formatMessage(messages[`${category}Name` as keyof typeof messages]);
+  const childrenCategoryName = !isComponent
+    ? intl.formatMessage(messages[`${category}ChildrenName` as keyof typeof messages])
+    : undefined;
+  const modalTitle = !isComponent
+    ? intl.formatMessage(messages.title, { displayName })
+    : intl.formatMessage(messages.titleComponent);
+  const modalDescription = intl.formatMessage(messages.description, {
+    categoryName,
+    b: BoldText,
+  });
+  const modalDescriptionChildren = !isComponent ? intl.formatMessage(messages.descriptionChildren, {
+    categoryName,
+    childrenCategoryName,
+  }) : null;
+
+  return (
+    <AlertModal
+      title={modalTitle}
+      isOpen={isOpen}
+      onClose={close}
+      variant="warning"
+      icon={Warning}
+      footerNode={(
+        <ActionRow>
+          <Button
+            onClick={(e) => {
+              e.preventDefault();
+              e.stopPropagation();
+              close();
+            }}
+            variant="tertiary"
+          >
+            {intl.formatMessage(messages.cancelButton)}
+          </Button>
+          <LoadingButton
+            onClick={async (e) => {
+              e.preventDefault();
+              e.stopPropagation();
+              await onUnlinkSubmit();
+            }}
+            variant="primary"
+            label={intl.formatMessage(messages.unlinkButton)}
+          />
+        </ActionRow>
+      )}
+    >
+      <div>
+        <p className="mt-2">{modalDescription}</p>
+        <p>{modalDescriptionChildren}</p>
+      </div>
+    </AlertModal>
+  );
+};
diff --git a/src/generic/unlink-modal/data/api.ts b/src/generic/unlink-modal/data/api.ts
new file mode 100644
index 000000000..ab4856f70
--- /dev/null
+++ b/src/generic/unlink-modal/data/api.ts
@@ -0,0 +1,11 @@
+import { getConfig } from '@edx/frontend-platform';
+import { getAuthenticatedHttpClient } from '@edx/frontend-platform/auth';
+
+const getApiBaseUrl = () => getConfig().STUDIO_BASE_URL;
+export const getDownstreamApiUrl = (downstreamBlockId: string) => (
+  `${getApiBaseUrl()}/api/contentstore/v2/downstreams/${downstreamBlockId}`
+);
+
+export const unlinkDownstream = async (downstreamBlockId: string): Promise<void> => {
+  await getAuthenticatedHttpClient().delete(getDownstreamApiUrl(downstreamBlockId));
+};
diff --git a/src/generic/unlink-modal/data/apiHooks.ts b/src/generic/unlink-modal/data/apiHooks.ts
new file mode 100644
index 000000000..8cf7639cc
--- /dev/null
+++ b/src/generic/unlink-modal/data/apiHooks.ts
@@ -0,0 +1,18 @@
+import { useMutation, useQueryClient } from '@tanstack/react-query';
+import { courseLibrariesQueryKeys } from '@src/course-libraries';
+import { getCourseKey } from '@src/generic/key-utils';
+
+import { unlinkDownstream } from './api';
+
+export const useUnlinkDownstream = () => {
+  const queryClient = useQueryClient();
+  return useMutation({
+    mutationFn: unlinkDownstream,
+    onSuccess: (_, contentId: string) => {
+      const courseKey = getCourseKey(contentId);
+      queryClient.invalidateQueries({
+        queryKey: courseLibrariesQueryKeys.courseLibraries(courseKey),
+      });
+    },
+  });
+};
diff --git a/src/generic/unlink-modal/index.tsx b/src/generic/unlink-modal/index.tsx
new file mode 100644
index 000000000..60faf2404
--- /dev/null
+++ b/src/generic/unlink-modal/index.tsx
@@ -0,0 +1,2 @@
+export { UnlinkModal } from './UnlinkModal';
+export { useUnlinkDownstream } from './data/apiHooks';
diff --git a/src/generic/unlink-modal/messages.ts b/src/generic/unlink-modal/messages.ts
new file mode 100644
index 000000000..ae60927d0
--- /dev/null
+++ b/src/generic/unlink-modal/messages.ts
@@ -0,0 +1,75 @@
+import { defineMessages } from '@edx/frontend-platform/i18n';
+
+const messages = defineMessages({
+  title: {
+    id: 'course-authoring.course-outline.unlink-modal.title',
+    defaultMessage: 'Unlink {displayName}?',
+    description: 'Title for the unlink confirmation modal',
+  },
+  titleComponent: {
+    id: 'course-authoring.course-outline.unlink-modal.title-component',
+    defaultMessage: 'Unlink this component?',
+    description: 'Title for the unlink confirmation modal when the item is a component',
+  },
+  description: {
+    id: 'course-authoring.course-outline.unlink-modal.description',
+    defaultMessage: 'Are you sure you want to unlink this library {categoryName} reference?'
+      + ' Unlinked blocks cannot be synced. <b>Unlinking is permanent.</b>',
+    description: 'Description text in the unlink confirmation modal',
+  },
+  descriptionChildren: {
+    id: 'course-authoring.course-outline.unlink-modal.description-children',
+    defaultMessage: '{childrenCategoryName} contained in this {categoryName} will remain linked to '
+      + 'their library versions.',
+    description: 'Description text in the unlink confirmation modal when the item has children',
+  },
+  unlinkButton: {
+    id: 'course-authoring.course-outline.unlink-modal.button.unlink',
+    defaultMessage: 'Confirm Unlink',
+  },
+  pendingDeleteButton: {
+    id: 'course-authoring.course-outline.unlink-modal.button.pending-unlink',
+    defaultMessage: 'Unlinking',
+  },
+  cancelButton: {
+    id: 'course-authoring.course-outline.unlink-modal.button.cancel',
+    defaultMessage: 'Cancel',
+  },
+  chapterName: {
+    id: 'course-authoring.course-outline.unlink-modal.chapter-name',
+    defaultMessage: 'Section',
+    description: 'Used to refer to a chapter in the course outline',
+  },
+  sequentialName: {
+    id: 'course-authoring.course-outline.unlink-modal.sequential-name',
+    defaultMessage: 'Subsection',
+    description: 'Used to refer to a sequential in the course outline',
+  },
+  verticalName: {
+    id: 'course-authoring.course-outline.unlink-modal.vertical-name',
+    defaultMessage: 'Unit',
+    description: 'Used to refer to a vertical in the course outline',
+  },
+  componentName: {
+    id: 'course-authoring.course-outline.unlink-modal.component-name',
+    defaultMessage: 'Component',
+    description: 'Used to refer to a component in the course outline',
+  },
+  chapterChildrenName: {
+    id: 'course-authoring.course-outline.unlink-modal.chapter-children-name',
+    defaultMessage: 'Subsections',
+    description: 'Used to refer to chapter children in the course outline',
+  },
+  sequentialChildrenName: {
+    id: 'course-authoring.course-outline.unlink-modal.sequential-children-name',
+    defaultMessage: 'Units',
+    description: 'Used to refer to sequential children in the course outline',
+  },
+  verticalChildrenName: {
+    id: 'course-authoring.course-outline.unlink-modal.vertical-children-name',
+    defaultMessage: 'Components',
+    description: 'Used to refer to vertical children in the course outline',
+  },
+});
+
+export default messages;