In this article, we critically review the epistemological transition from a modernist or first-order cybernetic approach in which subject-object dualism is implicitly assumed and enacted within the therapeutic relationship, to the current postmodern, second-order approach. Problems associated with both epistemological persuasions are examined. We propose a theoretical way out of the epistemological corner defined by a former naive realism, on the one hand, and the current potential for a nonfunctional relativism, on the other. This route is created through an integration of systemic and constructivist metatheory whereby therapist knowledge, as fallible as it may be, is afforded a rightful place within the therapy relationship. Moreover, participant-observation is considered a necessary extension to the postmodern emphasis on therapist reflexivity because it reinstates the importance of therapist knowledge (i.e., objectifications of family dynamics and experiences). It is suggested that the willingness to engage in the process of intersubjective meaning creation, guided by the therapist and the client, but driven by the client's own knowing and experiencing, is central to the success of therapy.It was not too long ago that a fatalistic shadow had been cast over the field of family therapy: "The systemic paradigm [is] slowly dissolv[ing] into incoherence" (Erickson, 1988, p. 234); "as the systems era disintegrates" (Goolishian and Anderson, 1992, p. 35). With proclamations such as these, the very foundation of family therapy had been thrown into question. The era of postmodernism had arrived, and, for a time,