Consolidation of identity is one of the most central tasks in normal adolescent development. Normal challenges in the process of identity formation are called identity crisis, a transient phenomenon that usually results (after resolution) in a well-integrated identity with flexible and adaptive functioning. In contrast identity diffusion is viewed as a basis for subsequent personality pathology, leading to a broad spectrum of maladaptive and dysfunctional behaviours. A modification of Transference Focused Psychotherapy was developed to treat adolescents with identity diffusion in order to improve their relationships with friends, parents, and teachers and help acquire positive self-esteem and clarify life goals. The primary modifications of TFP for adolescent treatment involve changes in frequency and duration of some of the specific techniques (increased clarification, more work in the extra-transferential relationships before directly addressing the transference), tactics (inclusion of family during the assessment phase and treatment contract setting phases of treatment, inclusion of supportive interventions in the environment), and strategies (the goal of removing blockages to the development of normal identity integration, not »forced maturation«).