BLOG

Dram Shop Laws in Iowa & What They Mean for Alcohol Vendors

Robert Stahle • June 7, 2018

A dram shop is an establishment, such as a bar or tavern, where alcoholic beverages are sold. Dram shop laws are specific laws that govern over these establishments and their liability should someone become injured due to the actions of an intoxicated patron.

Every state has dram laws. In certain states, like Iowa, dram shop laws allow for an injured person to file a lawsuit against the bar or establishment that served a patron to the point of intoxication which then resulted in behaviors that harmed others.

An example of such a lawsuit is when a person is injured by a drunk driver and chooses to take legal action against the establishment that served the intoxicated driver alcohol before they entered their car.

The Iowa Dram Shop Act

The Iowa Dram Shop Act, found in code section 123.92, outlines that a vendor who has obtained a license or permit to sell alcohol can be held liable for injuries to a person if their sale of alcohol to another person resulted in the harm or injury. This liability to applies to when a vendor serves alcohol to a person who is, or appears to be, intoxicated.

Are Social Hosts Held to the Same Liability Under the Iowa Dram Shop Act?

The fact that vendors of alcoholic beverages can be held liable for personal injury damages raises the question about liability if alcohol is served in a social setting at private residence, or by someone who is not a licensed vendor. For example, if a person hosts a party at their home and serves alcohol, are they held to the same liability laws as a licensed establishment?

In Iowa Code section 123.49, it states that social hosts who provide alcohol cannot be held liable if one of their guests becomes intoxicated and then causes injury to another person due to their intoxication.

Exceptions for Complicity

There are special circumstances that can limit an injured person’s right to damages under the Iowa Dram Shop Act, one of which is complicity.

Complicity refers to a person who encouraged or participated at their own free will in the drinking that led to the intoxication of the person who caused injury. For example, there are two men drinking together at the bar. Over the course of the evening, they buy each other drinks. At some point, a heated argument between them takes place and one of them throws a glass bottle that hits the other one in the head, causing injuries.

If any other patron were hit by the bottle, they could attempt to recover damages from the establishment. However, since the injured party participated in the acts that led to intoxication, and even bought the other person drinks, he would be considered complicit, and therefore his claim would be barred.

Know Your Rights

As a licensed vendor of alcoholic beverages or even as a social host, you have an incredible responsibility on your shoulders. When someone is injured by an intoxicated individual, they’re looking for answers and compensation, and they’ll naturally turn to you. We have experience working with the Iowa Dram Shop Act and know how to protect the assets and reputation of your business or home. Contact Fitch & Stahle Law Offices for a free consultation.

< Older Post Newer Post >

Mail

How Drunk Driving Accident Victims Can Maximize Compensation With Legal Help

By Robert Stahle • June 11, 2025

When you’re injured by a drunk driver, the physical trauma is often only the beginning. Medical appointments, hospital stays, and prescription medications can last for weeks, months, or even years. You may be unable to work. You may lose your vehicle. And the emotional toll—fear, anxiety, depression—can weigh heavily on you and your family. Unfortunately, many accident victims never receive the compensation they truly need to recover. Insurance companies are skilled at downplaying injuries, undervaluing claims, and pushing quick settlements. These early offers often only cover short-term costs—and leave victims with nothing for long-term consequences. That’s why it’s crucial to work with a personal injury attorney who understands how to fight for your full and fair compensation. At Fitch & Stahle Law Firm , we’ve helped countless clients throughout Iowa and Nebraska recover the financial support they deserve after being hit by drunk drivers. Here’s how having legal representation can make a difference: 1. Understanding the Full Value of Your Claim A serious injury isn’t just about your ER bill. A strong legal claim must account for: Follow-up medical care, physical therapy, and surgeries Future medical treatment or long-term care Mental health services for trauma, PTSD, or anxiety Lost wages and reduced ability to earn income Property damage and vehicle replacement Pain, suffering, and loss of enjoyment of life Without legal help, you may never even know you’re entitled to compensation for these elements—let alone how to calculate their true cost. Our attorneys work closely with doctors, financial experts, and accident specialists to build a comprehensive case that reflects the full scope of your losses. 2. Pursuing Punitive Damages In Iowa and Nebraska, courts may award punitive damages in drunk driving cases. Unlike compensatory damages (which are designed to cover your losses), punitive damages are intended to punish the offender for particularly reckless or egregious behavior and deter others from doing the same. These damages can significantly increase the value of your claim—but you need an experienced attorney to prove that the driver’s actions warrant them. We know how to present evidence of impairment, prior offenses, and other aggravating factors that strengthen your case. 3. Exploring Additional Sources of Compensation Sometimes, the drunk driver’s insurance policy won’t cover the full cost of your damages. In those cases, we explore: Your own underinsured/uninsured motorist coverage Dram shop liability (if a bar, restaurant, or event overserved the driver) Third-party liability (in rare cases, the driver’s employer or vehicle owner may also share responsibility) Our team works to leave no stone unturned when identifying all potential sources of recovery. 4. Standing Up to the Insurance Companies Insurance adjusters are trained negotiators. Their job is to pay out as little as possible. Without a lawyer, they may take advantage of your lack of legal knowledge or pressure you into a fast settlement. With Fitch & Stahle in your corner, you don’t have to deal with their tactics. We handle all communication, submit all documentation, and push aggressively for the settlement you deserve. And if the insurance company won’t cooperate? We’re ready to take your case to court. If you or someone you love has been injured by a drunk driver in Iowa or Nebraska, don’t let the insurance company decide what your recovery is worth. Contact Fitch & Stahle Law Firm today for a free case evaluation. Let us help you move forward—with the compensation and justice you deserve.

Why You Need a Lawyer After a Drunk Driving Accident in Iowa or Nebraska

By Robert Stahle • June 6, 2025

Drunk driving accidents are among the most devastating types of crashes—and the most preventable. Every time someone chooses to drive under the influence of alcohol, they not only break the law, but they also endanger innocent lives. When you’re the victim of one of these reckless acts, the physical, emotional, and financial consequences can be overwhelming. Many accident victims assume that if the other driver was arrested for DUI, the case will resolve itself quickly and fairly. After all, if the police have proof that the driver was drunk, what else is there to fight about? The reality is far more complex. Even when intoxication is clear, recovering compensation is rarely straightforward. Insurance companies are primarily concerned with protecting their bottom line. They may admit the drunk driver was at fault but still dispute the amount of damages you’re owed. They may claim your injuries aren’t as severe as you say or argue that you had pre-existing conditions. In some cases, they may even try to shift partial blame to you. That’s why hiring an experienced drunk driving accident attorney is so critical. At Fitch & Stahle Law Firm , we represent clients throughout Iowa and Nebraska who have been harmed by drunk drivers. Our attorneys know how to build strong legal cases backed by evidence, expert testimony, and strategic negotiation. We don’t just take the word of the insurance company—we conduct our own investigations, obtain police and toxicology reports, interview witnesses, and, when necessary, work with accident reconstruction professionals to determine exactly what happened and who’s responsible. Beyond proving liability, our goal is to make sure every client receives the full amount of compensation they’re entitled to under the law. That includes not only current medical expenses and lost wages but also: Future medical care (surgeries, rehab, medications) Lost future earning capacity Pain and suffering Mental and emotional trauma Property damage Punitive damages when applicable In particularly egregious cases, we may also pursue compensation from third parties under Iowa or Nebraska’s dram shop liability laws . If a bar, restaurant, or even a private event served alcohol to someone who was visibly intoxicated or underage, that establishment could be held partially liable for the damages. Dealing with injuries, doctors, bills, and the trauma of the crash is hard enough. You shouldn’t also have to navigate legal paperwork, deadlines, and difficult insurance adjusters on your own. We provide personal, compassionate, and aggressive legal representation—so you can focus on healing while we focus on justice. Remember: The other driver’s arrest or conviction does not guarantee you fair compensation. Civil and criminal cases are separate, and only a personal injury claim will secure the financial support you need to recover and rebuild your life. If you or a loved one has been hit by a drunk driver in Sioux City or the surrounding areas of Iowa and Nebraska, don’t wait. Call Fitch & Stahle Law Firm today for a free consultation. We’ll help you hold the drunk driver—and their insurance company—fully accountable.