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Ivanov had been recalled to headquarters and the line was under Brussilov, with four generals Kaledin, Sakharoff, Scherbachev, and Lechitsky to command his various army-groups. Opposed to them were four Austrian generals and the German Bothmer, who held the front from Zalocze on the upper Sereth to the Dniester.

Cossack rebellions under Kaledin and Kornilov broke out on the Don and under Dutoff in the Urals; and Scherbachev collected a mixed anti-Bolshevik force on the borders of the Ukraine. But peace negotiations began between the Germans and Bolsheviks at Brest-Litovsk on the 22nd. The plausible German Foreign Secretary, Von Kühlmann, presided, and Austria was represented by Count Czernin.

Almost outflanked on the north by Sakharoff and on the south by Scherbachev and Lechitsky, Bothmer had at length to retreat to the Zlota Lipa with his right in front of Halicz, his centre at Brzezany, and his left at Zborov. He was vigorously attacked by Scherbachev, and his right was pushed back on both banks of the Dniester as far as Halicz until it stood upon the Narajovka.

Thence he struck south towards the railway from Krasne to Tarnopol which supplied Bothmer's left, while Bothmer's right was being simultaneously threatened by Lechitsky now that the floods on the Dniester had subsided. On 7 August he recaptured Tlumacz and reached the Dniester near Nijniow; on the 10th he forced his way into Stanislau, while Scherbachev attacked on the north bank of the Dniester.

The Rumanian Army had during the winter been refitted and equipped with a considerable store of munitions, and its offensive was planned to follow closely on the heels of the Russian in Galicia, But the Russians were out of Tarnopol before, in the last week of July, Averescu began his advance from south of the Oitoz Pass towards Kezdi Vasarhely; and the Russian Fourth Army under Scherbachev, which was to co-operate on Averescu's right, was deeply infected with revolutionary disorder.

Scherbachev was less successful against Bothmer in front of Tarnopol; but his left wing carried Buczacz, farther south, and crossed the Strypa, while beyond the Dniester Lechitsky outdid Kaledin's success at Lutsk.