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The study examines the relationship between principals’ transformational leadership and organizational citizenship behavior (OCB) while focusing on the contribution of two mediating variables – trust in principal and teachers’ job satisfaction. Structural equation modeling analysis on data of 211 Arab teachers in Israeli schools revealed that job satisfaction and trust mediated the relationship between transformational leadership and OCB. Nevertheless, teachers’ job satisfaction canceled the effect of trust when both were entered as mediating variables. Implications for leadership preparation programs are discussed, among them, the importance of school principals to adopt the transformational leadership style which has substantial impact on teachers’ trust in the principal, on their level of job satisfaction, and on their willing to practice good citizenship in school.