How to use one polygon layer to cut another polygon layer? arcmap 9.2

Hi

I have a layer with many polygons on. I need to edit this layer to remove areas of the polygons that overlap the polygons on another layer.

I am sure I've achieved this before but I cant seem to find the solution anywhere.

I could use "editor>clip" but this does not work for the entire layer, only if I select individual polygons which would take forever.

The interest tool doesnt seem to work as I don't want to be left with the area that interects, but to remove the area that interects from the layer I am editing.

Any thoughts?
S