If your case is dismissed your record would still show the arrest and possibly that the case was filed and indicted then dismissed but all these entries would remain until the record was expunged. Usually after the statute of limitations has run. There are other circumstances where an expunction can be granted sooner. There is no difference in court dates as between defendants charged with the same offense as in all likelihood the same prosecutor is handling both defendants.
No it doesn't drop off your record. If you've been indicted you can petition to seal your records. If you weren't indicted an attorney can file to have the records expunged (basically erased).
Yes one person can lose their case and the other person can beat their case. Less likely to happen if both are on trial at the same time.
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My answers are intended only as general legal advice and are not intended to create an attorney-client relationship. There is no substitute for a full consultation with a local experienced criminal defense attorney. For more answers based on my 19 years of experience visit my website, www.austincriminaldefenseattorney.com