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Articles

Pointers For Avoiding Holiday Social Host Liability

December 1, 2005

As the holiday season approaches, many of us will be attending parties hosted by family, friends and employers. If you are an employer hosting a party and will be serving alcohol, you will do well to consider the concept of social host liability.

A social host can be liable for serving alcohol to a guest who then drives on a public highway and injures a third party. A "social host" can be an individual, a business entity, an organization or an employer. To prevail under a social host liability theory, three elements must be proved:

  • the social host served alcohol to a person
  • when the social host knew or should have known the person was intoxicated
  • when the social host knew the person would be driving shortly after consuming the alcohol

Of course, the most effective way to avoid social host liability altogether is simply not to serve alcohol in any shape, form or fashion at your holiday party. Some may think that a policy of alcohol abstinence is not very realistic or very desirable and, therefore, such a policy may not be widely embraced; that being said, however, non-alcoholic punch is a sure way to avoid social host liability. Other suggestions that may reduce your liability if you serve alcohol at your party include the following:

  1. Before the party, provide incentives for your guests to car pool and appoint a designated driver who remains sober.
  2. Hire someone to serve the drinks or have a person you trust act as barkeep to keep an eye on your guests and let you know if someone is intoxicated.
  3. Resist any impulse to go around filling the glasses of your guest, choosing rather to let them request a refill.
  4. Offer a variety of non-alcoholic beverages as an alternative to alcohol, and add high protein foods to your menu because those foods absorb alcohol faster.
  5. Incorporate mental and physical agility games into your holiday festivities, such as Jenga, which provide incentives for guests to stay sober. Games will also steer guest traffic away from the bar.
  6. Stop serving alcohol at least one hour before the party is scheduled to end and never under any circumstances offer a guest "one for the road."
  7. Do not let an intoxicated guest drive. Offer to call the person a cab, to drive the person home (assuming you are sober), or to spend the night, but do not take no for an answer. As a last resort, take your guest's keys.

Under the doctrine of respondeat superior, the employer will be vicariously liable for the negligent acts of the employee if those negligent acts were committed within the course and scope of the employment relationship, even if the employer exercised ordinary care in the supervision of the employee, and regardless of whether the employer knew or had reason to know that an employee was intoxicated or impaired.

Employers planning holiday parties where alcohol will be served should be aware that the North Carolina Supreme Court has held that an employer was not liable under the doctrine of respondeat superior doctrine where the event was an "employment related function" and not an "employer sponsored function." Camalier v. Jeffries, 340 N.C. 699, 460 S.E.2d 133 (1995). If you are an employer planning to host a party this holiday season where alcohol will be served, take steps to reduce your potential liability by incorporating the following factors into party planning:

  1. do not hold the party on company premises
  2. do not hold the party during normal business hours
  3. do not require employees to attend the party
  4. do not require employees to work if they choose not to attend
  5. do not compensate employees for the time they spend at the party
  6. do not make a record of employee attendance
  7. do not allow any employees to engage in any work related activities during the party

This is the time of year for giving thanks and for celebrating our many blessings. If you are planning to host a holiday party, choose to celebrate responsibly by following the precautions suggested above and have yourself a merry Christmas, a happy Hanukkah and a joyous Kwanza.