Bullying and victimization are manifest in the peer social world, but have origins in the home. Uncertainty surrounds the mechanisms that convey problems between these settings. The present study describes the indirect transmission of hostility and coercion from parents to adolescent children through emotional dysregulation. In this model, derisive parenting-behaviors that demean or belittle children-fosters dysregulated anger, which precipitates peer difficulties. A total of 1409 participants (48% female; Mage = 13.4 years at the outset) were followed across secondary school (Grades 7-9) for three consecutive years. The results indicated that derisive parenting in Grade 7 was associated with increases in adolescent dysregulated anger from Grade 7 to 8, which, in turn, was associated with increases in bullying and victimization from Grade 8 to 9. The findings suggest that parents who are derisive, have children who struggle with emotional regulation and, ultimately, with constructive peer relationships.