Dram Shop Liability After an Accident

Dram Shop Liability After an AccidentDram shop liability represents a critical but often misunderstood aspect of the law that addresses the responsibilities of establishments serving alcohol. In the aftermath of accidents, particularly those involving alcohol, the ability to hold bars, restaurants, and other venues responsible can be pivotal. In addition to dram shop laws, there are also laws that may hold a social host liable for their role in providing alcohol to a person who later causes injuries.

What is a dram shop?

A “dram shop” in Pennsylvania refers to any business licensed to sell alcohol. This can include a variety of establishments such as:

  • Bars and pubs: Places that serve alcohol for consumption on the premises.
  • Restaurants: Including those that offer alcohol alongside meals.
  • Liquor stores: Those licensed to sell alcohol for off-premises consumption.
  • Nightclubs and venues: Places that host events and serve alcohol.
  • Hotels: Establishments that provide lodging and serve alcohol to their guests.

The term “dram shop” is derived from a historical term where a “dram” was a small liquid unit. Dram shop laws pertain to these establishments because they serve alcohol directly to patrons. In Pennsylvania, these businesses are held to strict liability standards under the dram shop laws if they serve alcohol to visibly intoxicated persons or minors who subsequently cause harm to themselves or others.

What is a social host?

A social host is an individual who provides alcohol to guests in a non-commercial setting, typically at a private event or gathering at a home. Unlike commercial establishments covered under dram shop laws, social hosts usually do not sell alcohol but may offer it free of charge to guests. Here’s what defines a social host and their responsibilities:

Setting

Social host situations are characterized by a private setting, such as a home, private event, community or clubhouse gathering, holiday party, sporting event tailgate, or some other non-commercial venue.

Legal responsibilities

Social host liability varies significantly by state. Some states hold social hosts responsible for injuries or damages caused by their guests if the host knowingly served alcohol to minors or visibly intoxicated adults who subsequently caused harm.

Types of liability

Social host liability can be invoked in situations like:

  • Serving alcohol to minors who then cause injury or damage.
  • Providing excessive amounts of alcohol to guests who are already visibly intoxicated, who then cause accidents or injuries either to themselves or others.

For a social host to be held liable, there usually needs to be a direct link between the host serving the alcohol and the subsequent car accident. In addition, the accident must result in damage, such as bodily injury, death, or property damage, because of the intoxicated person’s actions.

Impact of liability

In jurisdictions with social host liability laws, a host can be held legally responsible for things like property damage, personal injury, and other losses resulting from accidents involving intoxicated guests. In Pennsylvania, social host liability is more limited compared to some other states, particularly focusing on the provision of alcohol to minors rather than to intoxicated adults. If a minor consumes alcohol at a private event and then causes harm, the host could potentially be held liable for the resulting damages. This emphasizes the importance for hosts to manage the serving of alcohol responsibly, especially around underage guests.

What is the purpose of dram shop laws?

Dram shop laws in Pennsylvania are intended to enhance public safety and accountability regarding alcohol consumption. They reflect a recognition of the role that alcohol vendors can play in preventing alcohol-related harm. Here are some key objectives:

  • Promote responsible alcohol service: Dram shop laws are designed to encourage bars, restaurants, and other establishments that serve alcohol to do so responsibly and hold these businesses accountable for monitoring the amount of alcohol they serve and for whom they serve it.
  • Reduce alcohol-related harm: By imposing legal and financial consequences on establishments that serve alcohol irresponsibly, these laws aim to reduce the incidence of alcohol-related harm, including drunk driving, alcohol-related violence, and other public health and safety issues.
  • Provide a remedy for victims: Dram shop laws offer a legal pathway for victims of drunk driving and other alcohol-related incidents to seek compensation crucial for covering medical bills, compensating for lost wages, and addressing other damages resulting from accidents or injuries caused by intoxicated individuals.
  • Deterrence: The threat of significant legal and financial consequences under dram shop laws serves as a deterrent to establishments that might otherwise be tempted to overlook the signs of intoxication or the age of individuals when serving alcohol.

What does Pennsylvania law say about dram shop liability?

In Pennsylvania, dram shop liability laws hold alcohol-serving establishments like bars, restaurants, and liquor stores responsible for injuries caused by their patrons if it can be shown that the establishment served alcohol to a visibly intoxicated person or a minor. Here’s a detailed look at how dram shop liability applies in Pennsylvania:

Conditions for liability

To establish liability under Pennsylvania’s dram shop laws, the plaintiff must demonstrate that:

  • The establishment served alcohol to a person who was visibly intoxicated or under the legal drinking age of 21 at the time of service.
  • The service of alcohol was a direct cause of the individual’s intoxication.
  • The individual’s intoxication was a foreseeable cause of the injuries or damages incurred.

Types of damages

The damages can include bodily injuries, property damage, and other losses resulting from the intoxicated person’s actions, such as car accidents, assaults, or other harmful behavior.

 Legal claims

Victims of accidents involving intoxicated individuals or their families can file a lawsuit against the establishment under these laws. This is in addition to any claims against the individual directly responsible for the injury.

Evidence

Proving that an individual was visibly intoxicated when served often involves eyewitness testimony, video surveillance, or statements from the establishment’s staff. Evidence that the establishment had policies that were not followed or had a pattern of serving intoxicated patrons can also support a claim.

License Implications

Beyond civil liability, establishments that violate these laws may also face penalties from the Pennsylvania Liquor Control Board, including fines and potential suspension or revocation of their liquor license.

Understanding how dram shop liability works, its implications for both businesses and victims and the legal precedents that shape Pennsylvania cases is essential for anyone navigating the aftermath of alcohol-related incidents.

At Carmody and Ging, Injury & Accident Lawyers, we’ve obtained significant verdicts and settlements from numerous responsible parties in alcohol-related accidents, including drivers, owners of vehicles operated by impaired drivers, employers of drivers on duty at the time of the collision, and sellers of alcohol—if the driver was visibly intoxicated at the time of the sale of the alcohol and the intoxication caused the accident. If you were injured in an accident involving alcohol, call us or fill out our contact form to set up your free initial consultation today.