Bill Text: IA HF2391 | 2017-2018 | 87th General Assembly | Introduced

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Bill Title: A bill for an act limiting the liability of an alcoholic beverage licensee or permittee for certain alcohol-related injuries. (Formerly HSB 594.)

Spectrum: Committee Bill

Status: (Introduced - Dead) 2018-04-02 - Withdrawn. H.J. 720. [HF2391 Detail]

Download: Iowa-2017-HF2391-Introduced.html

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House File 2391 - Introduced




                                 HOUSE FILE       
                                 BY  COMMITTEE ON COMMERCE

                                 (SUCCESSOR TO HSB 594)

                                      A BILL FOR

  1 An Act limiting the liability of an alcoholic beverage licensee
  2    or permittee for certain alcohol=related injuries.
  3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
    TLSB 5939HV (1) 87
    asf/jh

PAG LIN



  1  1    Section 1.  Section 123.92, subsection 1, Code 2018, is
  1  2 amended to read as follows:
  1  3    1.  a.  Any person innocent third party who is injured
  1  4 in person or property or means of support by an intoxicated
  1  5 person or resulting from the intoxication of a person, has a
  1  6 right of action for all damages actually sustained, severally
  1  7 or jointly, up to the amounts specified in paragraphs "c"
  1  8  and "d", against any licensee or permittee, whether or not
  1  9 the license or permit was issued by the division or by the
  1 10 licensing authority of any other state, who sold and served any
  1 11 beer, wine, or intoxicating liquor directly to the intoxicated
  1 12 person, when the licensee or permittee knew or should have
  1 13 known the person was intoxicated, or who sold to and served
  1 14 the person to a point where the licensee or permittee knew or
  1 15 should have known the person would become intoxicated provided
  1 16 that the person was visibly intoxicated at the time of the sale
  1 17 or service.
  1 18    b.  If the injury was proximately caused by an intoxicated
  1 19 person, a permittee or licensee may establish as an affirmative
  1 20 defense that the intoxication did not contribute to the
  1 21 injurious action of the person.
  1 22    c.  For all claims under this subsection involving injury in
  1 23 person or property, the judgment or recovery for such injury
  1 24 for a person incurring damages shall not exceed seventy=five
  1 25 thousand dollars.
  1 26    d.  For all claims under this subsection involving loss of
  1 27 means of support or loss of services, companionship, society,
  1 28 or consortium resulting from the death or injury of a person,
  1 29 the judgment or recovery of any person shall not exceed one
  1 30 hundred thousand dollars.
  1 31                           EXPLANATION
  1 32 The inclusion of this explanation does not constitute agreement with
  1 33 the explanation's substance by the members of the general assembly.
  1 34    This bill limits the liability of an alcoholic beverage
  1 35 licensee or permittee for certain alcohol=related injuries,
  2  1 commonly referred to as the dram shop Act.
  2  2    Under current law, an alcoholic beverage licensee or
  2  3 permittee, whether or not the license or permit was issued
  2  4 by the division or by the licensing authority of any other
  2  5 state, is liable to a person for all damages resulting from an
  2  6 intoxicated person if the licensee or permittee sold or served
  2  7 the alcohol to the intoxicated person when the licensee or
  2  8 permittee knew or should have known the person was intoxicated,
  2  9 or who sold to and served the person to a point where the
  2 10 licensee or permittee knew or should have known the person
  2 11 would become intoxicated.
  2 12    The bill provides that damages are available to an innocent
  2 13 third party, and that a licensee or permittee is liable only
  2 14 if the licensee or permittee sold and served any beer, wine,
  2 15 or intoxicating liquor directly to the intoxicated person,
  2 16 provided that the person was visibly intoxicated at the time
  2 17 of the sale or service.
  2 18    The bill provides that damages available to an innocent
  2 19 third party from a licensee or permittee are limited to $75,000
  2 20 for claims involving injury to a person or property, and to
  2 21 $100,000 for claims involving loss of means of support or loss
  2 22 of services, companionship, society, or consortium resulting
  2 23 from the death or injury of a person.
       LSB 5939HV (1) 87
       asf/jh