The Legal Services Corporation statute signed by President Nixon represented a compromise between those who favored almost complete policymaking authority in the board of directors and those who wanted to limit the board and legal service lawyers. In the first two fiscal years, 1976 and 1977, the corporation was allocated $88 million and $125 million, respectively. Political controversy surrounding the establishment of the Legal Services Corporation is reviewed in conjunction with a discussion of the legal aid movement and neighborhood lawyer experiments. Decisions and negotiations that resulted in a national-level organization for legal services are reviewed. The OEO Legal Services Program is treated as a case study in the administration of a Federal grant-making agency. The Legal Services Program's contribution to due process, justice, and social reform is evaluated. An appendix provides statistical data on income distribution in the United States and other countries and on U.S. expenditures for the low-income population. Chapter notes and bibliography