Dram Shop Liability

Pronunciation: DRAM SHOP ly-uh-BIL-uh-tee

Torts › Duty of Care

Definition

Statutory cause of action imposing liability on commercial alcohol vendors (bars, restaurants, liquor stores) who serve alcohol to visibly intoxicated persons or minors, making the vendor liable for third-party injuries caused by the intoxicated patron. At common law, the act of serving alcohol was not the proximate cause of injuries caused by the drinker. Dram shop acts changed this by statute in most states. CALIFORNIA is the major exception: Bus. & Prof. Code § 25602 immunizes those who furnish alcohol (the drinker's consumption, not the serving, is deemed the proximate cause), and the only statutory exception, § 25602.1, allows suit against a licensee (and certain others) who serves an OBVIOUSLY INTOXICATED MINOR when that service proximately causes injury or death. Social host liability is more limited — most states do not impose liability on social hosts who serve adult guests, though many impose liability for serving minors.

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