This section contains the nature of the case and procedural background.

Caruso (P) owned a parking lot where he rented spaces. P also owned Linoleum & Carpet City a quarter mile from the parking lot. Trucks periodically blocked his parking lot, and on October 26, 1973, P found a beer truck and a smaller van blocking access to the lot. P was unable to locate the drivers but noticed that the keys to the beer truck were in the ignition. P took them and locked the truck and then returned to his business and telephoned the owner. P quickly received a belligerent call from Contos, the driver of the beer truck. Tow trucks were called, and the driver of the van settled his share of the costs, but Contos refused. Police were called, and the truck was eventually towed into an adjacent alley. Contos threatened P with ruin through the Teamsters. On November 9, an article appeared in the Washington Teamster that told citizens of Spokane not to do business with P. This was printed three more times, and P began to get calls from unidentified callers and business began to fall off. In May 1974, P moved his business in order to minimize the losses. In December 1974, P sued Local 690 (D). D moved for summary judgment to dismiss P's claim for business interference. P moved to amend his complaint to allege damages under a defamation cause of action arising from the articles. The trial court denied the motion for summary judgment and granted the motion for leave to amend. Eventually, the suit was scheduled for trial in 1981. D petitioned for review in that the articles were constitutionally protected free speech and thus there can be no liability for business interference. The appeals court agreed with P. D appealed.

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