The main objective if this study was to observe drivers' reactions at the onset of the yellow signal indication at signalized intersections in Jordan, assess drivers' understanding of the meaning of the signal, and assess drivers' perceived severity of punishment as a result of violating it. An observational field study, in which nearly 4,164 drivers' responses to the yellow signal indication at 20 signalized intersections, were observed, was aimed at assessing drivers' compliance with the signal in Jordan. A survey questionnaire study, in which 1,048 driver responses were obtained, was aimed at assessing drivers' understanding of the meaning of the yellow signal indication and the penalties associated with violating it. Based on the results of both studies, several conclusions were reached. The overall compliance rate was nearly 13%. Female drivers were significantly more compliant than male drivers. Age significantly contributed to compliance, with young male drivers having the worst compliance rate. The survey revealed that 73% of all respondents knew the correct meaning of the yellow signal indication. However, only 21% knew the correct penalties associated with violating it. Regarding the meaning of yellow signal indication, and the awareness of penalties associated with violating it, the survey revealed that older age, female gender, higher education, longer driving experience, and private license classification were all significantly associated with better understanding. Young male drivers particularly were the least aware of the meaning of the yellow signal indication and penalties associated with violating it.