How Dram Shop Laws Affect Drunk Driving Accident Claims in Pennsylvania

January 26, 2026 | By The Oakes Firm
How Dram Shop Laws Affect Drunk Driving Accident Claims in Pennsylvania

The drunk driver's insurance company has already done the math, and the numbers work in their favor. Policy limits cap what they pay you, regardless of how badly you were injured. Meanwhile, you're facing surgeries, months of rehabilitation, missed work, and bills that keep arriving.

Pennsylvania's dram shop law exists because lawmakers recognized this imbalance. When a bar, restaurant, or nightclub serves alcohol to someone who is visibly intoxicated and that person causes a crash, the establishment shares responsibility for the harm that follows.

Don’t assume the drunk driver was the only one responsible. Dram shop laws are designed to protect individuals in similar situations and hold businesses accountable for decisions that ultimately injure others.

A Philadelphia drunk driving accident lawyer can determine whether the driver was overserved, gather evidence before the bar deletes its surveillance footage, and pursue full and fair compensation for your injuries.

Schedule A Free Case Consultation

What Dram Shop Laws Mean for Accident Victims

  • Pennsylvania law allows injured victims to sue bars and restaurants that serve alcohol to visibly intoxicated customers who later cause crashes.
  • A dram shop claim provides a second source of compensation when the drunk driver's insurance policy limits fall short.
  • Establishments that serve minors face liability even if the minor did not appear intoxicated at the time.
  • Evidence such as surveillance footage, witness statements, and credit card receipts often disappears within days, making early legal action essential.
  • An attorney identifies all liable parties and builds a case that reflects the full impact of your injuries.

What Is a Dram Shop Law?

The term "dram shop" dates back to 18th-century England, where taverns sold gin and other spirits by a small unit of measurement called a dram. Today, dram shop laws hold bars, restaurants, and other licensed establishments accountable when they serve alcohol irresponsibly and someone gets hurt as a result.

Pennsylvania's dram shop statute (47 P.S. § 4-493 and § 4-497) applies specifically to alcohol. If a bar serves alcohol to a customer who is visibly intoxicated and that customer later causes a crash, the establishment may share legal liability for the victim's injuries. The law does not cover situations involving drugs or other intoxicants served outside a licensed setting.

Dram shop claims arise most frequently in drunk driving cases, though they may also apply when an overserved patron starts a fight, assaults someone, or causes other injuries after leaving a bar.

For accident victims, a dram shop claim provides an additional avenue for recovery when the drunk driver's insurance falls short of covering medical bills, lost wages, and long-term care.

When the Drunk Driver's Insurance Isn't Enough

the concept for drink driving

Alcohol-related crashes tend to cause more severe injuries than other collisions. According to the National Highway Traffic Safety Administration (NHTSA), about 30% of all U.S. traffic fatalities involve an impaired driver with a BAC of .08 or higher.

According to the Pennsylvania DUI Association, alcohol-related crashes account for only 7-8% of all collisions in Pennsylvania but cause nearly 30% of traffic deaths, making them roughly four times more likely to be fatal. Philadelphia consistently ranks among the state's urban hot spots for DUI crashes, with impaired drivers killing roughly two dozen people in the county in one recent year alone.

Victims injured on I-76, Roosevelt Boulevard, or Broad Street often face catastrophic injuries requiring treatment at Temple University Hospital, Penn Medicine, or Jefferson Hospital. The resulting medical bills, lost wages, and long-term care needs frequently exceed what the drunk driver's insurance policy covers.

A dram shop claim opens a second avenue for recovery. Licensed establishments typically carry commercial liability insurance with higher policy limits than individual drivers. When a drunk driver is uninsured or underinsured, a dram shop claim could be your best source for meaningful compensation.

Proving Visible Intoxication in Drunk Driving Accident Cases

A high blood alcohol concentration alone does not prove that someone was visibly intoxicated when they were served. Pennsylvania courts require evidence that the customer displayed outward signs of impairment at the time the establishment continued serving them.

Signs of visible intoxication include:

  • Slurred or unusually loud speech
  • Difficulty standing, walking, or maintaining balance
  • Glassy, bloodshot, or unfocused eyes
  • Fumbling with money, a wallet, or personal items
  • Aggressive, argumentative, or erratic behavior
  • Inability to follow simple instructions or hold a coherent conversation

Your attorney gathers this evidence from multiple sources. Surveillance cameras inside and outside the bar may capture the customer's condition. Other patrons and staff members who witnessed the customer's behavior can provide testimony. Credit card receipts and bar tabs reveal how many drinks were purchased and over what time period.

Toxicologists can work backward from the driver's BAC at the time of the crash to estimate their intoxication level while still at the bar.

Bars and restaurants frequently delete security footage within a week or two. Witnesses forget details as time passes. Acting quickly after a drunk driving crash preserves evidence that may otherwise disappear.

Who Can Be Held Liable Under Pennsylvania's Dram Shop Law?

Pennsylvania's dram shop statute applies to any business holding a liquor license. This includes:

Alcoholic drinks were in goblets and placed on tables within party
  • Bars and taverns
  • Restaurants with liquor licenses
  • Nightclubs and dance venues
  • Hotels and resorts with bars
  • Sports stadiums and concert venues
  • Catering companies serving alcohol at events

The law does not apply to private social hosts in the same way. If someone serves alcohol at a house party, they generally cannot be held liable for injuries caused by an intoxicated adult guest.

However, Pennsylvania law does impose liability on social hosts who knowingly serve alcohol to minors. If a minor leaves a house party intoxicated and causes a crash, the host who provided the alcohol may face both civil and criminal consequences.

Third-party vs. first-party dram shop claims

Most dram shop cases involve third-party claims, where someone injured by an intoxicated driver sues the establishment that served the alcohol. If a drunk driver hits you, you are the third party with a claim against both the driver and the bar.

Pennsylvania also recognizes first-party claims, where the intoxicated person themself sues the bar for their own injuries. However, these cases are difficult to win. Juries tend to hold individuals responsible for their own decision to drink, and Pennsylvania's comparative negligence rules often reduce or eliminate recovery when the injured person's own conduct contributed to their accident and injuries.

Steps to Protect Your Dram Shop Claim

If you've already received emergency medical care or started treatment for your injuries, you've taken the most important step. A few key actions in the coming weeks help strengthen your dram shop claim and position you for maximum compensation.

Hire a drunk driving accident lawyer immediately

Time works against you in dram shop cases. Bars and restaurants often delete surveillance footage within days, and witnesses forget details quickly. An attorney will subpoena security camera recordings, interview staff and patrons who saw the driver being served, and gather credit card receipts and bar tabs before this evidence disappears.

Early legal involvement also prevents you from giving recorded statements to insurance adjusters looking to minimize your claim.

Keep all medical appointments

Insurance adjusters and defense attorneys look for gaps in treatment. Missed appointments or delayed therapy sessions give them ammunition to argue your injuries aren't as serious as you claim. Consistent medical care creates a documented record linking your injuries directly to the crash and demonstrates that you're doing everything possible to recover.

Document your recovery in a journal

A written or video journal captures daily pain levels, mobility limitations, sleep disruptions, and how your injuries affect your ability to work and care for your family. This real-time documentation becomes strong evidence when calculating pain and suffering damages, which are often the largest component of a drunk driving accident settlement.

Preserve physical evidence

Keep damaged clothing, personal items, and any belongings you had with you at the time of the crash. Photograph your injuries as they heal, capturing bruises, surgical incisions, and scars at different stages of recovery. If your vehicle hasn't been repaired or totaled, don't authorize any work until your attorney has documented the damage.

Remain inactive on social media

Insurance investigators routinely search victims' accounts for posts, photos, or check-ins they can use to undermine your claim. A photo of you smiling at a family gathering or a brief video of you walking without assistance can be twisted to suggest your injuries aren't serious. The safest approach is to avoid posting anything about your accident, recovery, or daily activities until your case is resolved.

Building a strong dram shop case requires acting quickly and documenting thoroughly. These steps protect your right to pursue full compensation from both the drunk driver and the establishment that overserved them.

What Is the Statute of Limitations for a Dram Shop Claim in Pennsylvania?

Statute of limitations (SOL) on a court desk.

Pennsylvania law gives you two years from the date of the accident to file a personal injury lawsuit, including dram shop claims against bars and restaurants.

For families who have lost a loved one to a drunk driver, the grief can make it difficult to think about legal deadlines. The same two-year window applies to wrongful death claims. A wrongful death lawyer handles the legal process so you can focus on healing and honoring your loved one's memory.

Missing the statute of limitations deadline almost always means losing your right to compensation, which is why early legal guidance matters.

Can Comparative Fault Reduce My Dram Shop Compensation?

Insurance adjusters sometimes argue that the victim shares fault for the accident, perhaps by claiming you were speeding or failed to react quickly enough.

Pennsylvania follows a modified comparative negligence rule. You may still recover compensation as long as you are less than 51% at fault, though your total award is reduced by your percentage of responsibility.

Your attorney can challenge unfair blame by gathering evidence that demonstrates the drunk driver's impairment caused the crash. Police reports, BAC test results, toxicology evidence, and accident reconstruction analysis shut down these arguments before they gain traction.

In dram shop cases, establishing that a bar overserved the driver strengthens your position by showing multiple parties contributed to the collision.

Frequently Asked Questions About Pennsylvania Dram Shop Claims

Can I sue a bar if the drunk driver was not arrested or convicted of DUI?

Yes. A dram shop claim is a civil lawsuit, separate from any criminal charges against the driver. You do not need a DUI arrest or conviction to pursue compensation from the bar. Your attorney gathers independent evidence of visible intoxication and the establishment's role in the crash.

What if the drunk driver was served at multiple bars before the crash?

You may have claims against more than one establishment. Pennsylvania law allows victims to pursue dram shop claims against any licensed business that served the driver while they were visibly intoxicated. Your attorney investigates where the driver was drinking before the crash and builds claims against each liable party.

How long does a dram shop case take to resolve?

The timeline depends on several factors, including the severity of your injuries, the number of parties involved, and whether the bar's insurance company disputes liability. Your attorney can give you a better idea of what to expect and can provide a timeline as your case progresses.

What if the bar claims they didn't know the customer was drunk?

Visible intoxication is an objective standard based on outward signs that a reasonable server would recognize. Your attorney may use surveillance footage, witness testimony, and toxicology evidence to demonstrate that the customer displayed clear signs of impairment when they were served. The bar's claim that they "didn't notice" often falls apart under this scrutiny.

How much does a dram shop lawyer cost?

The Oakes Firm works on a contingency fee basis, which means you pay nothing upfront and owe no legal fees unless your case results in a recovery. This arrangement allows you to pursue your claim without financial risk while your attorney handles the investigation, negotiations, and litigation.

Take Control of Your Dram Shop Case with The Oakes Firm

Thomas G. Oakes II - Attorney
Thomas G. Oakes II, Philadelphia Drunk Driving Accident Lawyer

A drunk driving crash leaves lasting consequences, but you have the power to shape what happens next. Taking legal action puts you in control, allowing you to pursue compensation from both the impaired driver and the bar or restaurant that kept serving them.

The Oakes Firm has recovered over $110 million for clients with catastrophic injuries and more than $65 million in motor vehicle accident cases alone. Clients frequently say our firm exceeded their expectations, not just with the end result but with the process of getting there, too.

Call us or contact us online today for a free consultation to discuss your options and take the first step toward justice.

Schedule A Free Case Consultation