If you own a bar or restaurant in Texas, it’s essential to understand the Texas Dram Shop Act. This law holds businesses liable for serving alcohol to someone who causes an accident or injury. As a criminal defense attorney, I’ve seen many cases where companies were held responsible for serving alcohol to someone who caused harm. In this blog post, I’ll explain the basics of the Texas Dram Shop Act and what you need to know to avoid liability.

What is the Texas Dram Shop Act?

The Texas Dram Shop Act is a law that holds businesses liable for serving alcohol to someone who causes an accident or injury. This law applies to bars, restaurants, and other businesses that serve alcohol. If someone is injured or killed by a drunk driver, the victim or their family can sue the business that served the alcohol.

What Are the Requirements for Liability Under the Texas Dram Shop Act?

To be held liable under the Texas Dram Shop Act, the business must have served alcohol to someone intoxicated or a minor. The business must have known or should have known that the person was drunk or a minor. If the business can prove they didn’t know the person was intoxicated or a minor, they may not be held liable.

What Damages Can Be Recovered Under the Texas Dram Shop Act?

If a business is held liable under the Texas Dram Shop Act, the victim or their family can recover damages for medical expenses, lost wages, pain and suffering, and other losses. The damages can be substantial and bankrupt a business that is not adequately insured.

How Can Businesses Protect Themselves From Liability Under the Texas Dram Shop Act?

To protect themselves from liability under the Texas Dram Shop Act, businesses should:

1. Train their employees to recognize signs of intoxication and to refuse service to anyone who is obviously intoxicated or underage.

2. Have a written policy for handling intoxicated customers and minors.

3. Purchase liability insurance that includes Texas Dram Shop Act coverage.

If you own a bar or restaurant in Texas, it’s important to understand the law and take steps to protect yourself from liability. At James H. Horton Law Firm, P.C., we can help you understand the Texas Dram Shop Act and develop a plan to protect your business. Contact us today to schedule a consultation. (940) 382-1561

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