Emerging case law demonstrates that physicians who collaborate with physician assistants (PAs), as well as the entity that employs the physician and PA, are facing allegations of liability. The allegations of liability arise from the actions of the PA, inaction of the physician, and failure to meet the regulatory requirements for the oversight of PA practice. In some instances, the physician and employer struggle to meet the complex state regulatory requirements that govern the relationship(s) between the PA and the physician. A review of case law demonstrated that courts generally assign liability for the actions of the PA to the PA, but liability to the physician and employer for failure to meet the statutory requirements for oversight of the PA. All stakeholders must use the lessons learned from case law to mitigate physician and employer liability.