Designed by Rudolph Gehringer as a successor to the Pfalz D.III, the D.XII entered service in significant numbers near the end of the First World War.

The new aircraft was powered by the 180 hp Mercedes D.IIIaü engine and continued the use of LFG-Roland's patented Wickelrumpf plywood-skinned monocoque fuselage construction.

Difficulties with the radiator, which used vertical tubes rather than the more common honeycomb structure, delayed initial deliveries of the D.XII until June.

While the D.XII was a marked improvement over the obsolescent Albatros D.Va and Pfalz D.IIIa, it nevertheless found little favor with German pilots, who strongly preferred the Fokker D.VII.

[5] Leutnant Rudolf Stark, commander of Jasta 35, wrote: No one wanted to fly those Pfalzs except under compulsion, and those who had to made as much fuss as they could about practicing on them.

The Fokker was a bloodstock animal that answered to the slightest movement of the hand and could almost guess the rider's will in advance.

[6]Thanks to its sturdy wing and thin airfoil section, the D.XII maintained the excellent high-speed dive characteristics of the earlier Pfalz D.III.

[4] Furthermore, pilots consistently criticized the D.XII for its long takeoff run, heavy controls, and "clumsy" handling qualities in the air.

Records show that Pfalz received 84 such engines between July and October 1918, but there is no photographic evidence of any production D.XII equipped with the BMW IIIa.

[11] To cope with the increased power and weight, the D.XIV featured longer span wings and an enlarged vertical stabilizer.