Dram Shop Liability

A term referring to the body of law governing the liability of taverns, liquor stores and other commercial establishments that serve alcoholic beverages, in particular the liability arising from the sale of alcohol to visibly intoxicated persons or minors who subsequently cause death or injury to third-parties unrelated to the ‘dram shop’ due to alcohol-related car crashes and other accidents
References in periodicals archive ?
So-called commercial host liability, or dram shop liability, could reduce the more than 79,000 deaths that are linked to excessive drinking each year, the task force found in a systematic review of studies on the issue.
4 percent was found in areas with increased dram shop liability.
Studies included in the review also showed dram shop liability can reduce homicide and alcohol-related medical conditions.
As of January 2009, 44 states and the District of Columbia had dram shop liability laws, but the laws vary both in scope and in what evidence is required for holding commercial hosts liable for customer conduct.
Seven states--Delaware, Kansas, Maryland, Nebraska, Nevada, South Dakota and Virginia--have no commercial dram shop liability laws, according to the Insurance Information Institute.
In almost all states, however, dram shop liability must meet the "obvious intoxication" test: The server knew, or should have known, that the customer was intoxicated and therefore a danger to himself/herself and others, according to the Marin Institute, an alcohol-industry watchdog.
Stephen Barth, attorney and educator, warned that dram shop liability trends continue to focus the attention of the legal world on servers of beverage alcohol, and advised that thorough and regular training of responsible service methods is one key way for operators to protect themselves against potentially devastating judgments.
The factual details that establish dram shop liability may be lost with time as physical evidence evaporates and witnesses shift their recollection from what actually happened to what sounds good.
Dram shop liability refers to the body of law governing the liability of taverns, liquor stores and other commercial establishments that serve alcoholic beverages.
In the complex area of Dram Shop Liability, Barth outlined the "liability triangle," and issues surrounding the dram shop patron and injured third parties.