Commercial Host Liability – What Everyone Needs to Know

It goes without saying that there is no excuse for violent drunken behaviour. If someone suffers harm from someone who is noticeably intoxicated, then damages can certainly be claimed against that intoxicated person. This is also true for victims of motor vehicle accidents where the intoxicated person is at fault. But did you know that that liability can extend to the party that distributed that alcohol as well? This is called Commercial Host Liability and it is important for proprietors of bars and restaurants to understand this. If a patron is purchasing a constant flow of alcohol at a bar or restaurant and it is plainly obvious that he or she is intoxicated or is on the verge of becoming intoxicated, then management owes a statutory duty to cease serving that person alcohol. Continuing to serve alcohol is irresponsible and can lead to that patron serious injuring others or themselves in various ways.  This statutory duty is rooted in Section 29 of the Liquor Licence Act, which states that no alcohol is to be served or sold to an individual that appears intoxicated.

If someone does suffer serious harm, or death, as a result of a patron’s intoxication, then the courts will have to examine the bar or restaurant’s conduct very closely to determine what it did or did not do properly. For example, were the servers instructed to monitor patrons’ behavior while on the premises? What procedures did management have in place to ensure patrons do not order an excessive amount of drinks that would lead to intoxication? Were servers instructed to cut patrons off who appear to be intoxicated? Was the same server monitoring the same patrons all night or was there a shift change? That factor is important as a server taking over may not have been aware of how much a patron has had to drink over the course of the night. Management should always ensure there is a system in place that keeps servers informed of how much patrons have had to drink.

Bars and restaurants should always go one step further if a patron appearing intoxicated does not have a reasonable means of getting home. For example, if this person drove, it would be completely irresponsible to let them get behind the wheel. Therefore, management should train their servers to ensure intoxicated patrons have a way of getting home, with a designated driver, a taxi or Uber.

Whether you are a plaintiff or defendant in a personal injury tort claim involving a bar or restaurant serving alcohol, obtaining a statement from a witness is essential. A witness can describe whether the staff acted responsibly in curbing the patron’s alcohol intake or conversely, a witness can also describe the staff acting negligently by continuing to serve the patron and allowing him or her to become intoxicated and/or operate a motor vehicle.

If you work at or manage a bar or restaurant, be sure to take all of the above into consideration when serving patrons. Otherwise, you and your business could be in very serious legal trouble.

Please serve responsibly.

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