Law Offices of Jan Meyer and Associates, P.C.
New Jersey Dram Shop and Social Host Liability Law
By: Noah Gradofsky, Esq.
Edited by: Jan Meyer, Esq.
(201) 862-9500
(201) 862-9400 (Fax)
dramshop@janmeyerlaw.com

For information on New York liquor liability laws, please click here. Please also visit our Guide to Recovery of PIP in New Jersey and Guide to Recovery of PIP in New York which also feature other selected laws related to subrogation.

Please note that this document is provided as a reference guide only and is provided subject to this disclaimer.

Originally, common law did not recognize a cause of action by an injured person against anyone who provided alcohol to the person who eventually caused an injury. For instance, a person injured by a drunk driver could not sue the bar that sold the alcohol to the drunk driver. However, over time, courts, including New Jersey courts, developed grounds for liability where one negligently provided alcohol, which contributed to a person's injuries.. Eventually, the New Jersey legislature pulled back on the reigns by crafting "Dram Shop" and "Social Host" statutes that delineate the basis of liability for providing alcohol in certain situations. As the New Jersey Supreme Court explained, the Dram Shop statute was, "carefully crafted to balance both the needs of licensed alcoholic beverage servers to secure affordable insurance and the rights of victims to recover for the negligent service of alcohol." Mazzacano v. Estate of Kinnerman, 197 N.J. 307, 322 (2009). Somewhat similarly, the Social Host statute was designed to "establish for social hosts who serve alcoholic beverages a clear, statutory standard of liability that cannot be expanded or limited except by the Legislature itself." Senate Law, Public Safety & Defense Committee, Statement to Senate Committee Substitute for Senate Bill Nos. 1152 and 545--L.1987, c. 404 (March 6, 1986) quoted in Dower v. Gamba, 276 N.J. Super. 319, 325 (App.Div. 1994). An outline of New Jersey's liquor liability laws follows.

CONTENTS:

Basics of dram shop/social host liability:

  • Basics of dram shop liability
  • Basics of social host liability for providing alcohol to visibly intoxicated adults (statutory)
  • Social host liability for providing alcohol to minors (common law)
  • Additional notes:

  • Both the Dram Shop and Social Host statutes provide that they are the "exclusive civil remedy" for service/provision of alcohol by dram shops/social hosts.
  • Proving whether a person was visibly intoxicated when served/provided alcohol.
  • "Serving/Providing" alcohol does not necessarily mean handing the alcohol directly to the intoxicated person.
  • A social host serving an adult may only be liable for injuries resulting from a motor vehicle accident, while a dram shop may be liable for injuries resulting from other mechanisms (e.g. assaults perpetrated by the intoxicated individual).
  • A dram shop may be liable for injuries to the intoxicated person, while a social host may not be liable for injuries to the intoxicated adult.
  • Notes on joint tortfeasors, contribution, and comparative negligence.
  • Liability for DWI (or other dangerous activity) by other individuals.
  • No-fault (AKA) PIP and social host/dram shop liability.
  • Homeowner's policies and social host liability claims.

  • BASICS OF DRAM SHOP LIABILITY:

    A Dram Shop, called a "Licensed alcoholic beverage server" in the statute, is anyone "licensed to sell alcoholic beverages" pursuant to New Jersey law, N.J.S.A. 2A:22A-3 (text available from Justia here - opens in new tab), for instance a bar or a night club. Under N.J.S.A. 2A:22A-5 (text available from Justia here - opens in new tab), a licensed servers can be found liable for serving alcohol only if each of the following apply:

    BASICS OF SOCIAL HOST LIABILITY:

    A Social Host is defined in N.J.S.A. 2A:15-5.5 (text available from Justia here - opens in new tab) as one who is hosting guests but neither holds a liquor license nor is required to hold a liquor license and legally provides alcohol to a person who is of legal age to purchase alcohol. Under N.J.S.A. 2A:15-5.6 (text available from Justia here - opens in new tab), a social host may be found liable for providing alcohol if all of the following apply:

    Note that the Social Host statute does not address service of alcohol to minors. This is evident from the fact that N.J.S.A. 2A:15-5.5 defines a social host as one who provided alcohol to a person of legal age and from the fact that N.J.S.A. 2A:15-5.6 states that it is the exclusive civil remedy for the provision of alcohol to a person of age. As the New Jersey Supreme Court observed, this means that, "the Legislature specifically preserved full common-law liability of social hosts for damages caused by minors to others and even to themselves." Steele v. Kerrigan, 148 N.J. 1, 29 (1997)(dicta)(citations omitted) see further Camp v. Lummino, 352 N.J. Super. 414, 417 (App.Div. 2002) quoting Governor's Reconsideration and Recommendation Statement to S 1152 and 545, L. 1987, c. 404 ("The legislative history further indicates that the bill [was] not intended to affect the [then] current law regarding social hosts who serve individuals under the legal age to purchase and consume alcoholic beverages.").

    ADDITIONAL NOTES:

    Here are some other important notes about dram shop and social host liability:

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