This study seeks to find an intermediate mechanism that affects a relationship between transformational leadership and innovative behavior. Extant research has emphasized the effect of TL on intrapsychic traits of individual employees such as intrinsic motivation and empowerment. However, the significance of interpersonal relationship -based traits was underrepresented. Grounded on the context -attitude -behavior framework, we argue that transformational leadership improves innovative behavior by elevating the level of forgiveness, an interpersonal relationship -based trait, among employees. Structural equation modeling analysis with a survey from 374 Korean employees shows that forgiveness partially mediates the effect of transformational leadership on innovative behavior. This study highlights another path that TL affects innovative behavior. The implications and limitations of the study and suggestions for future studies are discussed.