A 5-year-old spayed female German shepherd dog was referred for diagnostic evaluation and treatment of progressive exophthalmos, conjunctival hyperemia, and protrusion of the third eyelid of the left eye. Computed tomography revealed a retrobulbar mass of the orbit, exhibiting radio attenuation consistent with adipose tissue and well-defined margins. No evidence of metastasis was detected on thoracic radiographs or abdominal ultrasound. Cytological evaluation of ultrasound-guided fine-needle aspirates was inconclusive. A ventral transpalpebral anterior orbitotomy approach facilitated excision of the abnormal retrobulbar tissue. Histopathology revealed mature adipose cells compatible with a lipoma. The patient regained normal appearance and function 3 months after surgery. Key clinical message: While rare, consider a lipoma as a differential diagnosis for a retrobulbar mass. The ventral transpalpebral orbitotomy has been described in only 3 cases in the veterinary literature, and this is the only known report of utilizing this approach for excision of a neoplastic condition.