I don't know the name of that but I remember a party/board game that was entirely based on those... of course I don't remember what it was called.

I guess I'm useless here. Curious to find out what others may know... :)

There is a great article on this topic on Wikipedia. What you are talking about is related to the term "mondegreen," which they define as:

"A mondegreen is the mishearing (usually accidental) of a phrase as a homophone or near-homophone in such a way that it acquires a new meaning."

There's a great song that illustrates the concept of the mondegreen. (My mom and I used to sing it when I was little!) The article in Wikipedia talks about this, also:

* * * * *

Mairzy Doats, a 1943 novelty song by Milton Drake, Al Hoffman and Jerry Livingston, works the other way around. The lyrics are already a mondegreen, and it's up to the listener to figure out what they mean. The refrain of the song repeats nonsensical sounding lines:

Mairzy doats and dozy doats and liddle lamzy divey
A kiddley divey too, wooden shoe (or, if you prefer, "wouldn't chew").
The only clue to the actual meaning of the words is contained in the bridge:

If the words sound queer and funny to your ear, a little bit jumbled and jivey,
Sing "Mares eat oats and does eat oats and little lambs eat ivy."

From this point, the ear can figure out that the last line of the refrain is "A kid'll eat ivy too; wouldn't you?", but this last line is only sung in the song as a mondegreen.

* * * * *

Check out the article at en.wikipedia.org/wiki/Mondegreen

Good luck with your paper! :)

Now I've got inna gadda davida baby stuck in my head...

Isn't James Joyce's stuff full of this?

Haven't read any, but I seem to remember reading about it.