Understanding Dram Shop Laws in Maine and New Hampshire: Impact on Businesses with Alcohol Licenses
As the holidays approach, it is important to understand business liability when patrons overindulge. Dram shop laws impose liability on businesses that serve alcohol for injuries caused by their intoxicated patrons. For business owners in Maine and New Hampshire holding an alcohol license, understanding these laws is crucial for minimizing legal risks.
Dram Shop Laws in Maine
Key Aspects of Maine's Dram Shop Laws:
Liability for Overserving: Businesses can be held liable if they serve alcohol to visibly intoxicated individuals or minors who subsequently cause property damage or injury to themselves or others.
Burden of Proof: Plaintiffs must prove that the establishment and/or its employees were negligent or reckless in serving the patron.
Statute of Limitations: A plaintiff must give a business notice of a claim within 180 days of the incident and lawsuits must be filed within two years of the injury.
Damages: Damages may be awarded for property damage, bodily injury or death proximately caused by the consumption of the liquor served by the server. However, a damage award may not exceed $350,000.
Penalties:
Fines for regulatory violations can also be significant.
Suspension or revocation of the alcohol license is possible.
Dram Shop Laws in New Hampshire
Key Aspects of New Hampshire's Dram Shop Laws:
Liability for Overserving: Establishments are liable if they serve alcohol to an intoxicated person or minor who then causes harm due to their intoxication.
Burden of Proof: Plaintiffs must prove that the establishment and/or its employees were negligent or reckless in serving the patron..
Statute of Limitations: Victims must file a lawsuit within three years of the incident.
Damages: Damages may be awarded for property damage, bodily injury or death proximately caused by the consumption of the liquor served by the server. New Hampshire does not have a cap on damages awards.
Penalties:
Fines for regulatory violations can also be significant.
Suspension or revocation of the alcohol license is possible.
Mitigating Risks
Training and Compliance:
Ensure all employees are trained in responsible beverage service.
Implement ID checks and strict policies against serving visibly intoxicated patrons.
Insurance:
Invest in adequate liability insurance to cover potential claims.
All businesses should strongly consider liquor liability insurance to cover them in case of catastrophic claims.
Conclusion
Dram shop laws in Maine and New Hampshire hold businesses accountable for their role in alcohol-related injuries. By prioritizing compliance, training, and proper insurance, business owners can minimize the risk of costly lawsuits and protect their establishments. If you find your business facing such a claim, prompt coordination with experienced legal counsel can be the difference between a quick resolution and years of costly litigation.
