S.B. 112

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DRAMSHOP LIABILITY AMENDMENTS
2 1997 GENERAL SESSION
3 STATE OF UTAH
4 Sponsor: David L. Buhler
5 AN ACT RELATING TO ALCOHOLIC BEVERAGES; MODIFYING LIABILITY
6 PROVISIONS; ELIMINATING STATUTORY CAP ON LIABILITY UNDER DRAMSHOP
7 ACT; MAKING TECHNICAL CORRECTIONS; AND PROVIDING AN EFFECTIVE DATE.
8 This act affects sections of Utah Code Annotated 1953 as follows:
9 AMENDS:
10 32A-14-101 (Effective 07/01/97), as last amended by Chapter 240, Laws of Utah 1996
11 Be it enacted by the Legislature of the state of Utah:
12 Section 1. Section 32A-14-101 (Effective 07/01/97) is amended to read:
13 32A-14-101 (Effective 07/01/97). Liability for injuries resulting from distribution of
14 alcoholic beverages -- Causes of action -- Statute of limitations -- Employee protections.
15 (1) [Any] (a) A person [who directly gives, sells, or otherwise provides liquor, or at a
16 location allowing consumption on the premises, any alcoholic beverage, to the following persons,
17 and by those actions causes the intoxication of that person,] described in Subsection (1)(b) is liable
18 for [injuries]:
19 (i) an injury in person, property, or means of support to:
20 (A) any third person[,]; or [to]
21 (B) the [spouse, child, or parent] heir, as defined in Section 78-11-6.5, of that third
22 person[, resulting from the intoxication:]; or
23 (ii) for the death of a third person.
24 (b) A person is liable under Subsection (1)(a) if:
25 (i) the person directly gives, sells, or otherwise provides the alcoholic beverage to a person
26 described in Subsection (1)(b)(iii);
27 (ii) the person directly gives, sells, or provides the alcoholic beverage as part of the

1 commercial sale, storage, service, manufacture, distribution, or consumption of alcoholic products;
2 (iii) those actions cause the intoxication of:
3 [(a)] (A) any [person] individual under the age of 21 years;
4 [(b)] (B) any [person] individual who is apparently under the influence of intoxicating
5 alcoholic [beverages or] products or drugs;
6 [(c)] (C) any [person] individual whom the person furnishing the alcoholic beverage knew
7 or should have known from the circumstances was under the influence of intoxicating alcoholic
8 beverages or products or drugs; or
9 [(d)] (D) any [person] individual who is a known interdicted person; and
10 (iv) the injury or death described in Subsection (1)(a) results from the intoxication of the
11 individual who is provided the alcoholic beverage.
12 (2) (a) A person 21 years of age or older who is described in Subsection (2)(b) is liable for:
13 (i) an injury in person, property, or means of support to:
14 (A) any third person; or
15 (B) the heir, as defined in Section 78-11-6.5, of that third person; or
16 (ii) for the death of the third person.
17 (b) A person is liable under Subsection (2)(a) if:
18 (i) that person directly gives or otherwise provides an alcoholic beverage to an individual
19 under the age of 21 years;
20 (ii) those actions caused the intoxication of the individual provided the alcoholic beverage;
21 (iii) the injury or death described in Subsection (1)(a) results from the intoxication of the
22 individual who is provided the alcoholic beverage; and
23 (iv) the person is not liable under Subsection (1), because the person did not directly give
24 or provide the alcoholic beverage as part of the commercial sale, storage, service, manufacture,
25 distribution, or consumption of alcoholic products.
26 [(2) An] (3) Except for a violation of Subsection (2), an employer is liable for the actions
27 of its employees in violation of this chapter.
28 [(3)] (4) A person who suffers an injury under Subsection (1) or (2) has a cause of action
29 against the person who provided the alcoholic beverage in violation of Subsection (1) or (2).
30 [(4)] (5) If a person having rights or liabilities under this chapter dies, the rights or
31 liabilities provided by this chapter survive to or against that person's estate.

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1 [(5) The total amount of damages that may be awarded to any person pursuant to a cause
2 of action under this chapter that arises after July 1, 1985 is limited to $100,000 and the aggregate
3 amount which may be awarded to all persons injured as a result of one occurrence is limited to
4 $300,000.]
5 (6) An action based upon a cause of action under this chapter shall be commenced within
6 two years after the date of the injury.
7 (7) Nothing in this chapter precludes any cause of action or additional recovery against
8 the person causing the injury.
9 (8) (a) [A] An employer may not sanction or [termination of] terminate the employment
10 [may not be imposed upon any] of an employee of [any] a restaurant, airport lounge, private club,
11 on-premise beer retailer, or any other establishment serving alcoholic beverages as a result of the
12 employee having exercised the employee's independent judgment to refuse to sell alcoholic
13 beverages to any person the employee considers to meet one or more of the conditions described
14 in Subsection (1).
15 (b) Any employer who terminates an employee or imposes sanctions on the employee
16 contrary to this section is considered to have discriminated against that employee and is subject
17 to the conditions and penalties set forth in Title 35A, Chapter 5, Utah Antidiscrimination Act.
18 Section 2. Effective date.
19 This act takes effect on July 1, 1997.




Legislative Review Note
as of 12-30-96 2:55 PM

A limited legal review of this bill raises no obvious constitutional or statutory concerns.

Office of Legislative Research and General Counsel

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