[step:Eliminate the quantified variable when it is forced to equal a parameter]Fix a normalized finite conjunction $\Gamma(x,\bar{y})$ of positive atomic formulas, so no atom in $\Gamma$ has the same variable on both sides. Let $\Delta(\bar{y})$ be the conjunction of all atoms in $\Gamma$ that do not contain $x$. Define three finite index sets:
\begin{align*}
E &= \{i \in \{1,\dots,n\} : x = y_i \text{ or } y_i = x \text{ occurs in } \Gamma\},\\
L &= \{i \in \{1,\dots,n\} : y_i < x \text{ occurs in } \Gamma\},\\
U &= \{i \in \{1,\dots,n\} : x < y_i \text{ occurs in } \Gamma\}.
\end{align*}
Assume first that $E \neq \varnothing$, and choose $e \in E$. Define the quantifier-free formula $\Gamma^\exists(\bar{y})$ by
\begin{align*}
\Gamma^\exists(\bar{y})
:=
\Delta(\bar{y})
\land
\bigwedge_{i \in E}(y_i = y_e)
\land
\bigwedge_{i \in L}(y_i < y_e)
\land
\bigwedge_{j \in U}(y_e < y_j).
\end{align*}
We claim that
\begin{align*}
T_{\mathrm{DLO}} \models \forall \bar{y}\,\bigl(\exists x\,\Gamma(x,\bar{y}) \leftrightarrow \Gamma^\exists(\bar{y})\bigr).
\end{align*}
Let $M \models T_{\mathrm{DLO}}$, and let $\bar{a} = (a_1,\dots,a_n) \in M^n$. If $b \in M$ satisfies $\Gamma(b,\bar{a})$, then every equality constraint in $E$ gives $b = a_i$, so $a_i = a_e$ for all $i \in E$. Every lower-bound constraint gives $a_i < b = a_e$, and every upper-bound constraint gives $a_e = b < a_j$. The $x$-free part gives $\Delta(\bar{a})$. Hence $M \models \Gamma^\exists(\bar{a})$.
Conversely, if $M \models \Gamma^\exists(\bar{a})$, set $b := a_e$. Then $b = a_i$ for all $i \in E$, $a_i < b$ for all $i \in L$, $b < a_j$ for all $j \in U$, and $\Delta(\bar{a})$ holds. Therefore $M \models \Gamma(b,\bar{a})$, so $M \models \exists x\,\Gamma(x,\bar{a})$.[/step]