What is the “dram shop law”?

In Montana, the “dram shop law” is a type of liquor liability law that holds business owners and operators responsible for injuries or deaths caused by their patrons. These laws exist to ensure that businesses are held accountable for providing or selling alcohol to people who are intoxicated or underage. The term “dram shop” originates from 18th-century pubs in England that served small amounts of liquor, measured by a dram. There were no regulations or laws at this time, so the term ‘dram shop’ came to mean any establishment that sold alcohol. In Montana, the dram shop law states that any business that sells or provides alcohol to a patron of legal drinking age who is obviously or obviously intoxicated is liable for any injury or death caused by that patron as a result of their intoxication. Businesses who violate this law are subject to both civil and criminal penalties. Additionally, dram shop laws hold businesses responsible for any damage or injuries to others caused by intoxicated customers, even if the customer was of legal drinking age or was not obviously intoxicated when they were served. In some instances, businesses might be relieved of liability if they can prove that they acted responsibly and exercised due diligence in serving or providing alcohol to customers. These businesses must show that they had taken steps to help ensure that alcohol was served responsibly, or that they had taken steps to prevent the patron from becoming obviously intoxicated.

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What is the “dram shop law”?

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