In this thesis, we study a three-node full-duplex network, where the infrastructure node has simultaneous up- and downlink communication in the same frequency band with two half-duplex nodes. In addition to self-interference at the full-duplex infrastructure node, the three-node network has to contend with the inter-node interference between the two half-duplex nodes. The two forms of interferences differ in one important aspect that the self-interference is known at the interfered receiver. Therefore, we propose to leverage a wireless side-channel to manage the inter-node interference. We characterize the impact of inter-node interference on the network achievable rate region with and without a side-channel between the nodes. We present four distributed full-duplex inter-node interference cancellation schemes, which leverage the device-to-device wireless side-channel for improved interference cancellation. Of the four, bin-and-cancel is asymptotically optimal in high signal-to-noise ratio limit which uses Han-Kobayashi common-private message splitting and achieves within 1 bits/s/Hz of the capacity region for all values of channel parameters. The other three schemes are simpler compared to bin-and-cancel but achieve the near-optimal performance only in certain regimes of channel values. Asymptotic multiplexing gains of all proposed schemes are derived to show analytically that leveraging the side channel can be highly beneficial in increasing the multiplexing gain of the system exactly in those regimes where inter-node interference has the highest impact.