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Guide to Texas Dram Shop Laws

Guide to Texas Dram Shop Laws

Drunk driving is a terrible crime that can have significant consequences. An intoxicated driver can’t be trusted to safely operate a motor vehicle. Drunk driving often leads to serious car accidents that inflict life-changing injuries and deaths.

At FVF Law Firm, we understand what you’re going through after being involved in a car accident with a drunk driver. We will educate you on all of the laws surrounding your case to make sure you understand your legal options moving forward. 

This guide is designed to provide you with the information that you need to navigate the legal landscape of Texas’s dram shop laws, protect your rights and rebuild your life. If you want to learn more about a particular case, schedule a free, no-pressure consultation with our Austin car accident attorneys at (512) 640-2146.

What Is the Dram Shop Law in Texas?

In Texas, drunk driving car accident victims may be able to file claims against more than just the intoxicated driver. The business that gave the alcohol to the drunk driver could also be held responsible, in some situations, under Texas’s dram shop laws.

Texas Alcoholic Beverage Code, Section 2.02(b), states the following:

  • (b)  Providing, selling, or serving an alcoholic beverage may be made the basis of a statutory cause of action under this chapter and may be made the basis of a revocation proceeding under Section 6.01(b) of this code upon proof that:
    • (1)  at the time the provision occurred it was apparent to the provider that the individual being sold, served, or provided with an alcoholic beverage was obviously intoxicated to the extent that he presented a clear danger to himself and others; and
    • (2)  the intoxication of the recipient of the alcoholic beverage was a proximate cause of the damages suffered.

In addition to suing an intoxicated driver, this law can give the victim of a drunk driving crash the right to file an insurance claim or personal injury lawsuit against a business that provided or furnished alcohol to the driver before the automobile accident. 

To use the dram shop law, there must be evidence that the drunk driver was already obviously intoxicated when the shop served the alcohol, and that intoxication was apparent to the shop. In addition, there must be evidence that being served the alcohol was a contributing factor to the car accident.

How Common Are Drunk Driving Accidents in Texas?

Texas often takes the lead in terms of the highest number of deadly drunk driving accidents in the country. According to the Texas Department of Transportation, an average of 89 people died in Texas each month due to drunk driving in 2023. On average, around 37 percent of traffic accident deaths in Texas are caused by drugs or alcohol. 

Understanding Liability for a Drunk Driving Accident in Texas 

When a drunk driver causes a car crash in Texas, multiple parties could be held liable, or legally and financially responsible, for a victim’s losses. The most obvious choice is the drunk driver. However, under the dram shop law, the bar or a restaurant that served the drunk driver alcohol could also face blame.

Under Texas’s fault-based car insurance law, a driver who is at fault for a car accident must pay for the damage caused. All drivers in Texas are required to purchase minimum amounts of automobile insurance so that they can afford to pay for someone else’s medical bills and property repairs if they cause a crash. 

If it’s proven that a driver was intoxicated, that driver’s auto insurance may have to pay for the damage caused. But the victim may also be able to seek justice against the establishment that overserved the drunk driver. Filing both types of claims gives the victim access to greater amounts of insurance coverage, which can be helpful in the face of significant losses.

When Can You Hold a Dram Shop Responsible for a Drunk Driving Crash?

Texas’s dram shop laws hold alcohol-serving establishments liable for overserving patrons when this results in damages, or harm. Bars, restaurants, hotels and other licensed alcohol providers have a duty of care when serving alcoholic beverages to patrons. They must do what they can to prevent people from getting too drunk at their establishments.

If a dram shop fails to meet this duty of care by continuing to serve someone who is already obviously intoxicated to the level of presenting a danger to himself/herself or others, the shop could be held liable for car accidents, injuries and deaths that arise out of this act of negligence

Holding a dram shop liable for a drunk driving accident case can result in financial compensation or damages for a victim’s past and future medical costs, lost wages, disability, property damage, pain and suffering, and more. However, a bar or establishment could potentially avoid liability for a drunk driving crash under the Safe Harbor Act.

What Is the Safe Harbor Defense?

Texas’s Safe Harbor Act offers defenses to liability in dram shop cases. Under this law, a business can protect itself from liability for the actions of an employee who commits an illegal act. This includes serving alcohol to a patron who is under the legal drinking age of 21 years old. 

If the business properly trained its workers to check IDs and only serve patrons of legal drinking age, this can protect the establishment from liability if an underage drinker causes a drunk driving accident. However, to use this defense, the bar or restaurant must prove that it engaged in reasonable business practices to ensure responsible alcohol service.

FVF Law Firm Protects Victims in Alcohol-Related Car Accidents

At FVF Law Firm, we understand the devastating impact that an alcohol-related car accident can have on victims. These tragedies can occur unexpectedly and leave lives shattered in their wake. We are passionate about helping victims as much as possible through skilled navigation of Texas’s dram shop laws.

In the face of challenges presented by a drunk driving crash in Texas, an ally is available at our law firm. Our personal injury lawyers in Austin will make sure you take advantage of all the legal options available to you, which may include filing a claim against a dram shop as well as a drunk driver to be made whole again.

You don’t have to go through this alone. Our car accident attorneys have helped countless people make educated choices about their cases. Find out how our experienced and knowledgeable attorneys can help you during a no-cost case review, which we offer at no pressure to hire us. Contact us today

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