As a restaurant owner, you have to navigate several situations. Operating a restaurant is considered high risk because you may be sued at any moment. Most restaurants serve alcohol to patrons as another type of refreshment. However, one of the most volatile situations that may be dealt with is accidentally serving alcohol to someone who is underage. Underage drinking is illegal, and there's a chance you could lose your business in the aftermath. Here's an overview of how to protect your business against a potential underage drinking disaster.
If your restaurant knowingly serves drinks to a minor, you will be fined and possibly serve jail time. You will be held responsible as the restaurant owner, but the employee who sold the alcohol and the waiter could also be sentenced to jail time. The level of punishment is based on the severity of the offense. If this is your first offense, you may receive a warning, or your restaurant could be banned from selling alcohol. You could also have your liquor license suspended.
Purchasing liquor liability coverage is recommended. Liquor liability coverage protects your business if an intoxicated patron injures someone or causes property damage. You will be held responsible because you served alcohol to the patron, which led to them becoming intoxicated. It's recommended that you look over state laws to see whether general negligence is active. General negligence looks at whether your business took reasonable action to prevent an intoxicated patron from causing harm. Dram shop laws govern the licensees of businesses that sell alcohol.
You can prevent underage people from drinking at your restaurant by following these tips;
If you believe that your liquor license was unfairly taken away, the licensing board will set up a hearing. This gives you the opportunity to explain why your license should be reinstated. It's recommended that you consider hiring an attorney to represent you. The State Liquor Authority will issue a final verdict.
Serving alcohol to a minor is a major violation that could jeopardize everything that you have worked for. The team here at GrayStone Insurance Group will help you find the right liquor liability insurance policy to protect your business. Contact us today to get started!