The author examined the influence of marital discord on separation and divorce in a rural South Asian setting. Little is known about how marital discord influences marital outcomes in settings with low personal freedom and limited access to independence. Using a sample of 674 couples from the Chitwan Valley Family Study in Nepal, the author investigated the impact of marital discord on the rate of marital dissolution and the extent to which wives' and husbands' perceptions of discord influence dissolution. The results revealed that (a) spouses' perceptions of marital discord increase the rate of marital dissolution, (b) both husbands' and wives' perceptions of discord have an important influence, and (c) the influence of wives' perceptions of discord is independent of their husbands' perceptions. Overall, these findings suggest that both spouses' perceptions of discord are important for marital outcomes, even in settings where the costs of marital dissolution are relatively high.