Laws & LiabilityQuestion 4 of 80
Under the Texas Dram Shop law, a business or its employee can be held civilly liable when they serve alcohol to a person who:
a.Orders more than two drinks in one visit
b.Was obviously intoxicated to the point of presenting a clear danger, and that person later causes harm
c.Is a first-time customer without a membership
d.Pays with cash instead of a card
Explanation
The Texas Dram Shop Act allows a business and its servers to be sued when they serve someone who was obviously intoxicated and presented a clear danger to themselves or others, and that person later injures someone. Liability turns on obvious intoxication, not on drink count or payment method. This is why recognizing intoxication is critical.
Law Reference: Texas Dram Shop ActPractice all 80 questions free — no signup required.
Related questions on this topic
- What is the primary purpose of the Texas Alcoholic Beverage Commission (TABC)?
- The body of state law that governs the sale and service of alcohol in Texas is known as the:
- A seller-server certification issued after completing a TABC-approved training program is valid for how long?
- The legal 'safe harbor' defense can protect an employer from Dram Shop liability only if all of the following are true EXCEPT:
- A seller-server sells alcohol to a customer who is obviously intoxicated. Which statement about liability is correct?
- It is illegal in Texas for a seller-server to sell an alcoholic beverage to which of the following?
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