Illinois Dram Shop Act: When Bars and Restaurants Are Liable for DUI Accidents

The Bar That Served the Drinks May Owe You Money

When a drunk driver causes an accident, most people think only the driver is responsible. In Illinois, that is not always the case. The bar, restaurant, or liquor store that served the intoxicated person may also be liable under the Illinois Dram Shop Act.

This law gives accident victims an additional source of compensation. Drunk drivers often have limited insurance or no assets. The establishment that over-served them may have commercial liability insurance worth far more than the driver’s personal auto policy.

What Is the Illinois Dram Shop Act?

The Illinois Dram Shop Act is codified at 235 ILCS 5/6-21. It creates a cause of action against any person who sells or gives alcoholic liquor to someone who is intoxicated, if that intoxicated person then causes injury to another person or damages their property.

The term “dram shop” is a historical reference to establishments that sold gin by the spoonful (a “dram”) in 18th-century England. Today, it covers bars, restaurants, nightclubs, liquor stores, and any business licensed to sell alcohol.

Elements of a Dram Shop Claim

To bring a successful dram shop claim in Illinois, you must prove three things:

1. The establishment sold or gave alcohol to a person. This includes sales by the drink, by the bottle, or any other method of providing alcohol.
2. The sale or gift caused or contributed to the person’s intoxication. You must show a connection between the alcohol served at that establishment and the person’s drunkenness.
3. The intoxicated person caused your injury or property damage. There must be a direct link between the intoxication and the harm you suffered.

You do not need to prove that the establishment knew the person was intoxicated. You do not need to prove negligence. The Dram Shop Act creates strict liability in the sense that the focus is on the act of serving, not the server’s state of mind.

Who Can File a Dram Shop Claim?

The Dram Shop Act allows claims by several categories of people:

• The injured person. If you were hit by a drunk driver, you can sue the establishment that served them.
• Family members. Spouses and children of the injured person can file claims for loss of support, companionship, and services.
• Employers. An employer who loses the services of an injured employee can file a claim.
• Wrongful death beneficiaries. If the drunk driving accident caused a death, wrongful death beneficiaries can file a dram shop claim.

The intoxicated person who was served the alcohol generally cannot sue the establishment for their own injuries. The Dram Shop Act protects third parties, not the person who got drunk.

Damages Caps Under the Dram Shop Act

Illinois places caps on damages in dram shop cases. These caps are adjusted periodically. Under 235 ILCS 5/6-21, the current caps (which are updated by the Illinois Liquor Control Commission) limit recovery per person and per occurrence.

As of the most recent adjustment, the caps are approximately:

• Approximately $75,000 to $100,000+ per person for bodily injury (the exact amount depends on the year of the incident, as the cap is adjusted for inflation annually on January 20).
• Approximately $75,000 to $100,000+ for loss of support for each person affected.
• Approximately $75,000 to $100,000+ for property damage.

These caps apply per incident and per person. If multiple people are injured, each can recover up to the cap amount. The caps are relatively low compared to what you might recover in a standard negligence case, but dram shop claims add to your total recovery. They do not replace your claim against the drunk driver.

Statute of Limitations for Dram Shop Claims

The statute of limitations for dram shop claims in Illinois is one year from the date of the injury. This is shorter than the standard two-year statute of limitations for personal injury cases.

One year goes fast. If you suspect a drunk driver was over-served at a bar or restaurant, you need to act quickly. Missing this deadline means losing the dram shop claim entirely, even if your underlying personal injury claim is still within the two-year window.

Dram Shop Claims vs. Negligence Claims Against Bars

The Dram Shop Act is not the only way to hold a bar responsible. You may also have a common-law negligence claim against the establishment. However, Illinois courts have generally held that the Dram Shop Act is the exclusive remedy against liquor sellers. Common-law negligence claims against bars for over-serving are usually preempted by the statute.

There are exceptions. If the bar’s liability arises from something other than the sale of alcohol, a negligence claim might survive. For example, if the bar’s bouncer assaulted a patron, that is a negligence claim unrelated to dram shop liability.

Social Host Liability in Illinois

What about house parties? If someone gets drunk at a friend’s house and then causes an accident, is the host liable?

Illinois does not have social host liability for adults. If you throw a party, serve alcohol to adult guests, and one of them drives drunk and hurts someone, you are generally not liable. The Dram Shop Act applies only to licensed sellers and providers of alcohol.

There is one important exception: serving alcohol to minors. Under 235 ILCS 5/6-16(a), it is illegal to sell, give, or deliver alcohol to anyone under 21. If a social host provides alcohol to a minor who then causes an accident, the host may face both criminal charges and civil liability.

How Dram Shop Claims Interact with Car Accident Cases

A dram shop claim does not replace your car accident claim against the drunk driver. It supplements it. You can pursue both claims simultaneously.

Here is a typical scenario:

1. A drunk driver hits you and causes $300,000 in damages.
2. The driver has $100,000 in auto insurance coverage.
3. The bar that served the driver is liable under the Dram Shop Act, with a damages cap of approximately $90,000.
4. You recover $100,000 from the driver’s insurance and up to $90,000 from the bar, for a total of $190,000.

Without the dram shop claim, you would have been limited to $100,000. The additional recovery from the bar helps close the gap, even if the cap means you still do not recover your full damages.

Proving a Dram Shop Case

Evidence is critical in dram shop cases. Useful evidence includes:

• Bar receipts and credit card records. These show how many drinks were purchased and when.
• Surveillance video. Many bars have security cameras. This footage can show the patron’s condition when served.
• Witness testimony. Other patrons, bartenders, and servers can testify about the person’s visible intoxication.
• Blood alcohol content (BAC) results. The drunk driver’s BAC at the time of the accident, combined with expert testimony about how many drinks it takes to reach that level, can establish how much alcohol was consumed.
• Police reports. Officers often document where the drunk driver was coming from.
• Server training records. Whether the bar trained its staff on responsible alcohol service can be relevant.

Because evidence can disappear quickly (surveillance footage is often overwritten within days), it is essential to have an attorney begin an investigation immediately.

Motorcycle and Truck Accidents Caused by Drunk Drivers

Motorcycle accidents caused by drunk drivers are often catastrophic. Motorcyclists have no protection against a multi-ton vehicle driven by someone with impaired judgment and slowed reaction times. Dram shop claims can provide additional compensation for the severe injuries that typically result.

Similarly, when intoxicated truck drivers cause accidents, both the trucking company and the establishment that served the driver may be liable.

What to Do If You Were Hit by a Drunk Driver

• Call 911. Law enforcement will document the scene and test the driver’s BAC.
• Get medical treatment. Your health comes first.
• Find out where the driver was drinking. The police report often includes this information. Witnesses at the scene may also know.
• Contact an attorney within days, not weeks. The one-year statute of limitations is short, and critical evidence (like bar surveillance footage) can be lost quickly.
• Do not accept a quick settlement. The driver’s insurance company may try to settle fast before you realize you have a dram shop claim worth additional money.

Why an Attorney Matters in Dram Shop Cases

Dram shop cases require fast action and specific evidence. An experienced attorney can subpoena bar records, preserve surveillance footage, interview witnesses, and calculate the full value of your claim, including the dram shop component. Choosing the right attorney ensures no source of compensation is overlooked.

Talk to Phillips Law Offices Today

If you or a loved one was injured by a drunk driver in Illinois, you may have a dram shop claim in addition to your accident claim. Time is limited. The one-year deadline for dram shop claims is firm.

Call Phillips Law Offices at (312) 346-4262 or contact us online for a free consultation.