As the profession of rehabilitation counseling has evolved, rehabilitation counselors have taken on increasing responsibility and, consequently, have assumed increasing obligations to practice ethically, legally, and professionally. The importance of the roles of the rehabilitation counselor and the special nature of the rehabilitation counseling relationship have increasingly been acknowledged by legal bodies through the inclusion of rehabilitation counselors, as well as other counselors, in licensure and in other functions stipulated by statutory and regulatory bodies. This chapter defines risk prevention in rehabilitation counseling practice and identifies how professional codes of ethics intersect with the law. It also identifies action steps that rehabilitation counselors should take when faced with ethical dilemmas; and areas of practice, which are ‘hot spots’ for risk-management concerns. The chapter then highlights issues related to maintaining and breaching confidentiality, discusses unique dynamics and liabilities within the counseling relationship, and identifies counselor protections against malpractice.