The formation of bis-(2,2,6,6-tetramethylheptane-3,5-dionato)palladium by reaction of the β-diketone with disodium hexachlorodipalladate in methanol appears to involve the intermediate formation of di-µ-methoxy-bis-(2,2,6,6-tetramethylheptane-3,5-dionato)dipalladium. Under suitable conditions this compound becomes the sole product and it has been isolated and characterized.