The terpolymerization of butadiene, acrylonitrile, and methacrylic acid in emulsion, using potassium persulfate as initiator and sodium dioctylsulphosuccinate as emulsifier, was investigated. For the binary system butadiene (M1) and methacrylic acid (M2), the following monomer reactivity ratios were determined: r12= 0.18 ± 0.05 and r21= 0.52 ± 0.09. When polymerizations were stopped at low conversions they gave terpolymers which show good agreement between experimental and theoretical copolymerization composition data, calculated from the Alfrey-Goldfinger equation. The relationships between monomer feed and terpolymer compositions are presented on triangular coordinate graphs as proposed by Slocombe. By using a computer program, the lines of unique composition and the lines of binary azeotropic composition were established. No point of true azeotropic composition was found, but a “pseudo-azeotropic” region was recognized. The influence of composition on glass transition temperature and thermal characteristics of the terpolymers is described.