The reaction of a series of carbanions, including both aromatic anions and enolate anions, with N-tosyloxyphthalimide gave 3,3-disubstituted quinoline-2,4-diones. A multi-step mechanism which involves attack of the carbanion on a carbonyl group, ring opening, Lossen-like rearrangement, intermolecular proton transfer, and ring closure is suggested.
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Sheradsky et al. (1986) studied this question.