The unit was formed when Poland regained independence, on 7 November 1918 in Kraków, as the 3rd Air Escadrille, utilizing mostly bomber and reconnaissance aircraft left by Austro-Hungarian forces. On 25 November 1918 it was moved to Lwów (current Lviv), where it took active part in fighting of the Polish-Ukrainian War until June 1919. On 21 December 1918, after unification of Polish air units' names, its name was changed to the 7th Air Escadrille. It was commanded by Jerzy Boreysza, from April 1919 by Stefan Stec. Among pilots was World War I Ace Mieczysław Garsztka and Harvard graduate Edmund Pike Graves. Number of aircraft was variable, in May 1919 it possessed 3 fighters Fokker D.VIII (E.V), 3 reconnaissance Hansa-Brandenburg C.I and 1 LVG C.V. In June 1919 the escadrille was converted into fighter unit, then in September it was withdrawn into reserve. In October 1919 the commander became Ludomił Rayski.