Dental amalgam remains one of standard direct restorative materials for posterior teeth. However, direct contact of oral mucosa with this material can cause oral lichenoid lesion (OLL), albeit rare. It has been proposed that hypersensitivity reaction to mercury is responsible to the pathogenesis of OLL. In addition to clinical features and histopathological examination, allergic patch test and removing the suspected causal material are pivotal to the diagnosis. We reported a case of OLL associated with dental amalgam. The lesion subsided clinically after replacement of amalgam with resin composite material with no need of biopsy or pharmacological treatment. A concise review of clinico-pathological aspects and current recommendations on management of this disease was also presented.