A study was conducted to determine the relationship between rater's individualism/collectivism, discomfort with a peer evaluation system, and rater leniency. It was hypothesized that collectivism would be positively related to discomfort with evaluating a peer, while the relationship would be negative in the case of individualism and discomfort. This study also attempted to corroborate previous findings establishing a positive relationship between discomfort and rater leniency. In order to test the hypotheses, the Discomfort with Peer Evaluation scale (DPE) was developed. One hundred and five undergraduate students participated in this research. The data supported a positive relationship between collectivism and discomfort. Contrary to what was expected, data supported a positive relationship between individualism and discomfort. The data collected confirmed the existence of a positive relationship between discomfort and rater leniency. These results highlight the impact of cultural background on performance appraisals. Further research is needed to determine why both collectivism and individualism are positively related to discomfort.