Tavern Owners Liability / Liquor Liability

Liquor liability or dram shop liability in Montana is like that of many other states. It is a highly specialized area of the law. Many people think a claim arises when a bar “over-serves” a patron and then that intoxicated person harms another person either through a physical altercation or through a drunk driving-related accident. However, it is not enough that a bar serves a person enough alcohol to become intoxicated. There are no “over-service” claims in Montana as that term is commonly understood. Further, while TIPS training focuses on certain practices bartenders and bars can use to avoid serving someone to the point they are “over-served,” the TIPS practices are not the law in Montana and liability does not arise from a failure to follow TIPS practices.

The claim in Montana, as in most states, is really very limited. A person harmed by a drunk, whether they are in an auto accident or some other accident caused by an intoxicated person, can really only sue the server or bar that served the intoxicated person if one of three facts can be proven. In fact, the general rule in Montana is that service of alcohol is not a cause of or ground for liability against the server, bartender or bar, unless one of the three facts can be proven: Service to an intoxicated person; service to a minor; the bar somehow tricked a person into drinking alcoholic beverages. One of these three facts must be proven to even qualify to make the statutory claim. Even if one of the three claim triggers is met, there are notice requirements and shorter statute of limitations periods than most negligence claims.

The statutory claim found at MCA 27-1-710 is the exclusive remedy for alcohol-related claims. It is not your typical negligence claim. Because of all the misconceptions surrounding liability in these claims by the general public, lawyers and even some judges who have never practiced in this area, it is essential to hire an attorney with experience handling these claims. Unique proof and evidentiary requirements are keys to the case. For the tavern owners and servers, the statutorily required proof along with the shorter time periods, notice requirements, evidentiary issues, third-party provisions and damage caps substantially alter the traditional negligence and third-party claim environment.

For over 10 years, our liquor liability team each year has handled multiple liquor liability claims regarding everything from bar fights to multiple fatality car accidents to car-versus-pedestrian accidents. We have represented the injured and the bars, and we have successfully defended the constitutionality of the notice provisions in the statute. We deal with this statute every day and know its ins and outs. Call us to see if we can put that experience to work for you or your insureds.

CONTACT

G. Patrick HagEstad  email

Hannah Stone  email

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