Plant-parasitic nematodes are a major problem for horticultural production, causing significant economic losses. Chemical nematicides are a common nematode control strategy but can negatively impact the environment and human health. In this review, we provide an overview of the use of fungi for the biological control of plant-parasitic nematodes in horticultural crops. Fungal bio-control represents an alternative, environmentally friendly strategy for managing nematodes. The use of fungi for the bio-control of nematodes has gained increasing attention due to the potential benefits of selectivity, sustainability, and long-term control. Here, we discuss the different types of fungi used for nematode management, the mechanisms of their action, the advantages and limitations of using fungi for bio-control, and the factors affecting their efficacy. Additionally, we provide several case studies of fungal bio-control against root-knot, cyst, and lesion nematodes in horticultural crops. The review concludes with a discussion of future directions and research recommendations for implementing fungal bio-control in horticultural crops.