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Drunk driving wrecks: What is a dram shop lawsuit?

On Behalf of | Aug 12, 2024 | Motor Vehicle Accidents |

Drunk driving is a major public safety issue. The choices that people make can have dire implications for others. While safety-conscious individuals may proactively avoid consuming alcohol before driving, they never know when they might cross paths with someone who is too drunk to safely operate a motor vehicle. Drunk drivers cause serious collisions that lead to people dying or send them to the hospital.

After a drunk driving crash, the people injured in the collision may be in need of financial compensation. They might file an insurance claim against the driver who caused the crash. They could also potentially file a lawsuit against the impaired driver. Doing so may not necessarily lead to adequate compensation.

Low coverage available through insurance and limited personal resources on the part of the drunk driver could leave other people struggling with the financial consequences of their choices. In some cases, people involved in drunk driving crashes may have the option of pursuing a dram shop lawsuit against a bar, restaurant or entertainment venue licensed to serve alcohol to the public.

What is a dram shop lawsuit?

Dram shop laws establish liability for businesses that violate regulations for dispensing alcohol. If the business inappropriately sells alcohol and the patron they serve goes on to cause a crash, the business may be liable for any damages the intoxicated individual causes for others.

Typically, dram shop lawsuits occur in one of two situations. In some scenarios, the bar or restaurant serves alcohol to a minor who is not yet legally able to drink. Doing so can lead to dram shop liability. Other times, the bar or restaurant may have continued serving alcohol to a patron who is already visibly intoxicated. They may then leave in their vehicle and cause a wreck.

Provided that the parties affected by the crash can prove that the drunk driver was at a business and the business violated alcohol service laws, there may be grounds for a dram shop lawsuit. Businesses tend to have more generous insurance policies. They also have more resources than the average individual.

Those struggling to recover after a drunk driving crash may need to explore every option for compensation to limit their losses. Holding a business accountable for improper alcohol service that violated state laws is one potential solution after a drunk driving crash.