The focus of the article is on maladaptive personality patterns presented by Federal offenders, the theory behind characterological therapy, and major limitations in most current outpatient treatment settings in addressing the client's presenting problems. The following characteristics of characterological treatment are identified: (1) responsibility for change is placed on the client; (2) the therapist functions as a benevolent authority and directs treatment; (3) treatment identifies deficits and strength; (4) change is presented as a decision to mature; (5) therapeutic relationship is a laboratory for change; and (6) clear treatment goals are identified. The author suggests ways outpatient substance abuse treatment can be strengthened by adding characterological therapy; describes main features of characterological therapy; and looks at ways in which counselors and therapists can be selected, trained, and supervised to provide Federal offenders with the highest quality and most comprehensive services. 7 references