The reaction mechanism of allylic C-H acetoxylation has been studied.   The first step in the catalytic cycle is cleavage of the allylic C-H bond.  The sulfoxide ligand is thought to promote this step by generating a highly electrophilic, possibly cationic palladium species in situ.  This species coordinates to the alkene and acidifies the adjacent C-H bond, which allows acetate to abstract the proton and forms a π-allyl palladium complex (II).  Subsequently, a π-acid such as benzoquinone coordinates to the palladium, activating the π-allyl complex to nucleophilic attack (III).  A nucleophile, in this case acetate, attacks to reductively eliminate palladium, generating the product and palladium(0) (IV).  The palladium(0) is reoxidized to palladium(II) by benzoquinone and the sulfoxide ligand reassociates, closing the catalytic cycle.