This study examined the longitudinal relationship between paternal depressive symptoms, paternal hostility, and adolescent functioning in a community sample of 451 families. Paternal depressive symptoms were a strong predictor of adolescent outcome, even after controlling for family demographic variables, maternal depressive symptoms, and previous adolescent symptoms. Adolescent gender and perception of paternal hostility moderated this association such that females reporting high paternal hostility were particularly vulnerable to the adverse effects of paternal depressive symptoms. Maternal and paternal depressive symptoms had an additive, rather than interactive, effect on adolescent functioning. These results contribute to our knowledge of the interpersonal processes by which depression runs in families and highlight the importance of including fathers in developmental research on adolescent internalizing problems.