Apparently, nobody knows the answer so here goes (I am so disappointed). The name of the song is "Never a Loser" and it was written by Brian Good. The name of the band (and the recording) is James and the Good Brothers. James and the Good Brothers (twins Bruce and Brian) met the Dead family on the Festival Express and came out to California for awhile after that. They used to play all over the bay area (The Lion's Share, The Boarding House) and even opened for the NRPS a few times.
Eventually, the Good Brothers went back to Canada and James Ackroyd stayed in Marin awhile longer and formed another band called James and the Mercedes, which featured Frankie Hart (Weir), among others. James passed away a few years back (or so I heard). The Good Brothers are big stars in Canada.
Anyway, the photo (that I already broke down and posted) is of Bruce Good, Jerry Garcia, Brian Good, Cosmic Gail Hellund and Sonny Hurd.
Back to the song - it was written about their friend, Tim, who went to Canada from the U.S. to avoid the draft during the Vietnam war.
If you can find an old James and the Good Brothers album somewhere, you should get it - all the songs are great. I dug out my copy and was playing it the other day. I was missing the old days of James' birthday party at The Boarding House when I tripped over the stage (as opposed to ON the stage) while carrying a dozen helium balloons, singing "Oh, Canada" in the middle of Bush Street with Brian Good, etc. I guess the Nelson Band aren't the only self-indulgents on the planet!