This article formulates a post-Cartesian perspective on psychology agency. The author proposes a theory of situated agency that overcomes the exclusive association of agency with either the isolated and autonomous individual mind or with the structures and contexts in which the person exists. Using an approach grounded in social theory and philosophical hermeneutics, the author suggests that agency is generated through dialogical engagement and embedded in social, cultural, and biological contexts. Agency is located neither strictly in the individual nor in contexts, but in the intersubjective, generative space of affect, imagination, and cognition. In developing a clinically relevant theory of situated agency, the article draws on the ideas of Anthony Giddens, Martin Heidegger, and Hans-Georg Gadamer.