Moral distress occurs “when one knows the right thing to do but institutional constraints make it nearly impossible to pursue the right course of action”. In essence, moral distress is a form of secondary trauma that over time can result in compassion fatigue and/or burnout. Nurse educators can contribute to moral distress in their students if they are not careful. The manifestations of moral distress are similar to those experienced by someone suffering from compassion fatigue. Nursing is predicated on a value for human life and on health and healing. Nurse educators and leaders can encourage the development of moral courage in their students and staff, if they emulate it themselves. The nurse educator is the gatekeeper for the profession and the developer of future nursing practice. The nurse leader who supports and fosters quality caring ultimately sets the tone for a healthy work environment.