A man hosting Christmas Eve drinks at his home died after being stabbed in the chest.
Keith Tasker, 24, invited his brother, a man from another flat in his building, the neighbour's girlfriend and a friend of the neighbour, to his flat on Ullet Road near Sefton Park in 1989.
But nobody has ever been jailed over his death.
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Around midnight Keith died following a row with one of the men, but nobody was convicted over his death.
In court, the witnesses said that they had all sat around drinking when there was a violent row between Keith and the neighbour during which Keith received a five-inch stab wound in the kitchen of the flat.
Keith's brother said that at around midnight he noticed that the neighbour's friend was staring at Keith and said that "the atmosphere suddenly changed."
He said the neighbour's friend had been wearing boots with studded fasteners and that he took one of the studded straps off and started to mess about with it, which he said seemed to upset Keith Tasker.
A bit later Keith and the neighbour started arguing and Keith then asked him why he had brought his friend along.
He said that Keith was ranting and raving because he was frightened.
Keith's brother also said that he then punched the neighbour before seeing he had a knife in his right hand.
Keith then punched and kicked his neighbour before his brother went off to the bathroom.
However, he said that when he came back, he saw Mr Tasker lying on the floor with blood on his shirt.
The neighbour said that Keith ran at him and had fallen on the knife.
He was charged with Mr Tasker's murder and at an inquest a pathologist said that Keith Tasker died from haemorrhage associated with the stab wound.
At Keith's inquest, the coroner said: "In the absence of clear cut evidence I am unable to say where the truth lies."
An open verdict was returned and the charges against the neighbour were dropped.
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