A non-linear analysis of the inviscid stability of the common surface of two superposed fluids is presented. One of the fluids is a liquid layer with finite thickness having one surface adjacent to a solid boundary whereas the second surface is in contact with a semi-infinite gas of negligible density. The system is accelerated by a force normal to the interface and directed from the liquid to the gas. A second-order expansion is obtained using the method of multiple time scales. It is found that standing as well as travelling disturbances with wave-numbers greater than
$K^{\prime}_c = k_c[1+\frac{3}{8}a^2k^2_c + \frac{51}{512}a^4k^4_c]^{\frac{1}{2}}$
where a is the disturbance amplitude and kc is the linear cut-off wave-number, oscillate and are stable. However, the frequency in the case of standing waves and the wave velocity in the case of travelling waves are amplitude dependent. Below this cut-off wave-number disturbances grow in amplitude. The cut-off wave-number is independent of the layer thickness although decreasing the layer thickness decreases the growth rate. Although standing waves can be obtained by the superposition of travelling waves in the linear case, this is not true in the non-linear case because the amplitude dependences of the wave speed and frequency are different. A mechanism is proposed to explain the overstability behaviour observed by Emmons, Chang & Watson (1960).