On an application to set aside a preliminary dismissal order, the court must assess actual prejudice to both parties. The solicitor's negligence and the mere fact of the dismissal order do not constitute prejudice to the opponent. The reinstatement of a claim and the opponent's lack of insurance cover are not relevant prejudice absent evidence of detrimental reliance or change of position. The court must consider the prejudice to the claimant, including the loss of the claim where the limitation period has expired. An order dismissing proceedings where the claimant was on notice only of a show cause hearing (reversible dismissal) and not of an application for irreversible dismissal, made without appearance by the claimant, is a preliminary dismissal order made on the court's own motion.
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