This chapters focuses on issues of communication and interactional transactions between family members. It focuses on the work of Paul Watzlawick and the influence of Milton Erickson and the Palo Alto institute on the theory of communication and system functioning. Watzlawick elaborated a number of axioms described here. There is digital and analogical communication, the first one is verbal and the second emotional and behavioral. One cannot “no communicate” as any behavior and silence is a form of communication. Family interactions are described in terms of injunctions and counter-injunctions. Families may oppose change, despite coming to family therapy to change. The orders of change are described, first order change is change of an individual within a system and it can lead to further changes in the system or be “counterbalanced” by the opposition of other family members. Second order change refers to change of the whole family system. Issues of suggestion, resistance to change and paradoxical interventions in family therapy are described.