Abstract Treatment of N-nitroso-N, O-dibenzylhydroxylamine (2a) with acetic anhydride in benzene at reflux results in a remarkable rearrangement to 2-benzoyl-1- acetylbenzylhydrazine and it was established that it is the N-benzyl substituent of 2a that is transformed into the benzoyl group of the rearranged product (3a).