2′-Hydroxy-4′-methylacetophenone, also known as 1-(2-hydroxy-4-methylphenyl)ethanone can be synthesized by the Fries rearrangement of m-tolyl acetate in the presence of zirconium tetrachloride. The results from the toxicity studies on mite species suggest that 2′-hydroxy-4′-methylacetophenone possesses acaricidal property. 2′-Hydroxy-4′-methylacetophenone may be used in the preparation of 4′-methyl-2′-[(p-tolylsulfonyl)oxy]acetophenone.