I did a pretty careful comparison between the DA10 and DAC1 when it first arrived (there's a post about it somewhere here on Head-fi) and found that the DA10 sounded slightly better, with what seemed like more clarity and texture in the higher frequencies (drum cymbal hits, for example). I attributed this to better jitter handling in the Lavry (since I am using a computer as my source, I believe that a DAC that specializes in the way it deals with jitter is going to have an advantage over one using a more generic up-sampling approach, like the Benchmark DAC1...not that it was always generic, but I think a lot of DACs introduced in the past few years have copied their approach).
If someone is looking for a recommendation between the Lavry DA10 and Benchmark DAC1 I think I'd have to give the DA10 the nod, but it's not like a night and day difference. By the way, if anyone ever claims there is a night-and-day difference between DACs costing $1000 and up, I would seriously take their opinion with a grain of salt. They all sound great to me.