It is the purpose of this paper to examine the probable behavior of a system of two amphoteric substances between which mutual combination may take place under proper conditions, and to show that, by employing the considerations involved, it is much easier to explain much of the physical and chemical behavior of living tissues than it is by using the concept of a simple ampholyte. In the two following papers experimental evidence is adduced, from a study of certain simple systems of two ampholytes, in support of this idea. It may, however, be pointed out that living cells are by no means as simple as this above concept would seem to indicate. Its justification lies in the fact that, by sacrificing only very little of the simplicity of treatment which suffices for consideration of simple ampholytes, one gains greatly in comprehensiveness