In this presentation we propose a view of therapy as imaginative participatory theater. In it we illustrate how this approach can serve to unleash imaginative possibilities in our relationship with our clients. Transformative theater and its dialogic practices can co-generate a relational space of trust and openness that enables joint exploration and reflection. It also maximizes the use of conversational resources such as creative improvisation, humor, hyperbole, metaphor, storytelling, art and drama to relationally engage clients, disrupt dominant stories and discourses, evoke alternate relational performances, and promote the re-authoring of new narratives and identities in therapy, as well as the emergence of new possibilities in the life of the person, couple or family.