COA: Man’s intoxication doesn’t prevent recovery

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The Indiana Court of Appeals reversed summary judgment in favor of a bar because the trial court was incorrect in ruling that an injured man’s voluntary intoxication precluded any recovery under the Dram Shop Act.

Michael Gray sued Sandstone Bar & Grill for negligence after he drove his motorcycle and injured himself after he spent the day drinking at the bar. It’s unknown exactly how much Gray had to drink because he had bought drinks for friends and others had bought him drinks while he was at the bar.

He believed the bar was liable under the Dram Shop Act; Sandstone filed for summary judgment because it claimed its actions weren’t the proximate cause of Gray’s injuries and that he was voluntary intoxicated. It also claimed to not have actual knowledge of Gray’s intoxication.

The trial court found that genuine issues of material fact existed as to whether Sandstone had actual knowledge and whether its actions were the proximate cause of Gray’s injuries, but held that Gray’s voluntary intoxication prevented any recovery, citing public policy concerns addressed in Bailey v. State Farm Mutual Automobile Insurance Co., 881 N.E.2d 996 (Ind. Ct. App. 2008).

The Court of Appeals first examined the Dram Shop Act and held that Indiana Code Section 7.1-5-10-15.5(c) clearly spells out that under the statute, the person who is injured is the same as the person who is voluntarily intoxicated.

“(A)n adult consumer who is voluntarily intoxicated may assert a claim of damages for personal injury against the provider who furnished an alcoholic beverage that contributed to the consumer’s voluntary intoxication if: (1) the provider had actual knowledge that the consumer was visibly intoxicated at the time the beverage was furnished, and (2) if the consumer’s intoxication was a proximate cause of the injury or damage alleged,” wrote Judge Paul Mathias in Michael Gray v. D & G, Inc., d/b/a The Sandstone, No. 29A04-1002-CT-113.

Bailey only addressed the common-law tort of negligent entrustment, not the interpretation of the Dram Shop Act, noted Judge Mathias. The act clearly allows for recovery by someone who is voluntarily intoxicated, as long as the provider of the alcohol had actual knowledge that the person was visibly intoxicated at the time they provided the drink and the person’s intoxication was the proximate cause of the injury.

The trial court judge had concerns regarding public policy that might allow an intoxicated person to recover for injuries that were caused by his own voluntary intoxication, but the General Assembly has made the decision that even those who are voluntarily drunk may, under certain circumstances, assert a claim for damages against the person who served them. To hold otherwise would effectively render subsection (c) of the Dram Shop Act a nullity, wrote Judge Mathias.

The appellate court remanded for further proceedings.


  • shill???
    Delayed movement like hitting a three year old post to change the discussion from the House or Senate investigating why adjudicated shyster and felon William Conour, Esq., had a license while small potato non felons Dixon, Wemhoff, Rocchio, Ogden, Derek Farmer and me, among others, were thoroughly investigated by the DC and while the DC could not even find the time to file annual reports on how it was prioritizing its investigations? Who is watching the watchers?
  • Legal
    I think bars should be held responsible for over serving patrons, its a responsibility of the owner to properly train servers to know when a customer is intoxicated, Im sure when you get a license to bartend your taught what signs to look for when a person has become intoxicated slurred speech, loud talking and delayed movement.

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    1. Joe, you might want to do some reading on the fate of Hoosier whistleblowers before you get your expectations raised up.

    2. I had a hospital and dcs caseworker falsify reports that my child was born with drugs in her system. I filed a complaint with the Indiana department of health....and they found that the hospital falsified drug screens in their investigation. Then I filed a complaint with human health services in Washington DC...dcs drug Testing is unregulated and is indicating false positives...they are currently being investigated by human health services. Then I located an attorney and signed contracts one month ago to sue dcs and Anderson community hospital. Once the suit is filed I am taking out a loan against the suit and paying a law firm to file a writ of mandamus challenging the courts jurisdiction to invoke chins case against me. I also forwarded evidence to a u.s. senator who contacted hhs to push an investigation faster. Once the lawsuit is filed local news stations will be running coverage on the situation. Easy day....people will be losing their jobs soon...and judge pancol...who has attempted to cover up what has happened will also be in trouble. The drug testing is a kids for cash and federal funding situation.

    3. (A)ll (C)riminals (L)ove (U)s is up to their old, "If it's honorable and pro-American, we're against it," nonsense. I'm not a big Pence fan but at least he's showing his patriotism which is something the left won't do.

    4. While if true this auto dealer should be held liable, where was the BMV in all of this? How is it that the dealer was able to get "clean" titles to these vehicles in order to sell them to unsuspecting consumers?

    5. He has refused his Assent to Laws, the most wholesome and necessary for the public good. He has forbidden his Governors to pass Laws of immediate and pressing importance, He has erected a multitude of New Offices, and sent hither swarms of Officers to harrass our people, and eat out their substance. He has combined with others to subject us to a jurisdiction foreign to our constitution, and unacknowledged by our laws; giving his Assent to their Acts of pretended Legislation: For imposing Taxes on us without our Consent: He is at this time transporting large Armies of foreign Mercenaries to compleat the works of death, desolation and tyranny, already begun with circumstances of Cruelty & perfidy scarcely paralleled in the most barbarous ages, and totally unworthy the Head of a civilized nation.. He has excited domestic insurrections amongst us, and has endeavoured to bring on the inhabitants of our frontiers, the merciless [ ] Savages, whose known rule of warfare, is an undistinguished destruction of all ages, sexes and conditions. GOD BLESS THE GOVERNORS RESISTING! Count on the gutless judiciary to tie our children down and facilitate the swords being drawn across their throats. Wake Up America ...