Texas dram shop laws and owner liability
The Texas Dram Shop Act makes anyone who provides, sells or serves alcoholic beverages to an "obviously intoxicated" person liable for damages that were caused by the person's intoxication.
March 26, 2013
Texas dram shop laws and owner liabilityArticle provided by Hoffman Kaliser Messina & Schreimann, P.C.
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A dram shop is any establishment that sells alcoholic beverages. Dram refers to an old term that described the measurement of alcohol that taverns in the 1800s served their patrons. Dram shop laws provide that the owner of a dram shop -- generally, a bar or restaurant -- is liable for damages caused by an intoxicated person that the establishment over served alcohol.
Section 2.02 of the Texas Alcoholic Beverage Code, otherwise known as the Dram Shop Act, makes anyone who provides, sells or serves alcoholic beverages to an "obviously intoxicated" person liable for damages that were caused by the person's intoxication. A person is obviously intoxicated if he or she "presented a clear danger to himself and others."
Texas dram shop liability laws allow injured people to sue the businesses and organizations that served alcohol to those who negligently injured them while intoxicated. It also allows family members to bring suits against the establishment in wrongful death cases. Dram shop establishments may include bars, restaurants, liquor stores and nightclubs.
How liable is the establishment?
Generally in Texas tort actions, if a defendant is less than 50 percent responsible for injuries caused by his or her negligence, he or she is only liable for the percentage of his or her responsibility. This means if a jury were to find that a plaintiff suffered $100,000 in damages and that a defendant was 25 percent responsible for the damages, the defendant would be liable for $25,000. This is known as Texas' proportionate responsibility law.
The question of how the Texas' Dram Shop Act interplays with Texas' proportionate liability law has been debated in the courts. In the case F.F.P. Operating Partners, L.P. v. Duenez, the Texas Supreme Court ultimately decided that imposing 100 percent liability on the establishment and none on the intoxicated person conflicted with Texas' proportionate liability law. This means that the establishment is only responsible for the percentage of their negligence. It is important to note that if a jury finds the establishment more than 50 percent responsible, then the establishment and the intoxicated person are jointly and severally liable for all of the damages.
Remember that bringing a dram shop action does not prohibit you from also bringing an action against the intoxicated person.
Bringing a dram shop action in Texas
If you or someone you love was injured by a drunk driver, attacked by a drunken bar patron or otherwise injured by an intoxicated person who was served alcohol irresponsibly, an experienced dram shop attorney can help you recover monetary compensation for your damages.