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Understanding Dram Shop Laws

Robert Stahle • August 10, 2020

When somebody is injured in an accident related to alcohol, their first impulse is to file an injury claim against the individual who caused the accident. But did you know that there are also laws, known as dram shop laws , that allow the victims of drunk driving accidents (or their families) to hold bars and alcohol retailers accountable for the injury, death, or any other damages caused by an intoxicated customer? The specifics of dram shop laws differ from state to state, but they all provide that establishments that sell and serve alcohol to an individual to the point of intoxication are liable for any damages caused to a third party by the intoxicated person’s action.

At Fitch & Stahle Law Office, our defense attorneys are familiar with dram shop laws in both Iowa and Nebraska. Here are some basic facts that you should know about the dram shop laws in both states in Siouxland.

Dram Shop Laws in Nebraska

Nebraska Revised Statutes section 53-404 states that “A person who is injured by an intoxicated minor may file a dram shop claim against any retailer who sold alcoholic liquor to the minor.” This covers both liquor stores that sell packaged alcohol and bars and restaurants that sell alcohol by the drink.

Here is an example of the dram shop law in Nebraska. Suppose 20-year-old Tom stops at a bar on his way to classes at the local community college. Bartender Jim assumes that he is 21 and doesn’t ask for identification. Tom has several drinks, leaves, and while driving to his class, gets in a car accident with Jennifer, who is injured. Jennifer can bring a dram shop claim against Jim because he illicitly served Tom the alcohol.

The thing to remember about Nebraska dram shop laws is that they only apply if the person who causes the alcohol-related injuries is a minor.

Dram Shop Laws in Iowa

Staying in Siouxland but moving across state lines to Iowa, the dram shop laws differ somewhat. According to the precedent set in 2018’s Banwart v. 50th Street Sports L.L.C. and Iowa Code Section 123.92(1)(a), Iowa’s dram shop law provides that any establishment who sold or served alcohol to an individual to the point of intoxication is liable for any damages caused to an innocent third person by the drunk person’s actions.

The twist in this law is that liability can only be found if the establishment knew or should have known the person was intoxicated, or who sold to and served the drunk person to a point where the licensee knew that the person would become intoxicated.

Unlike in Nebraska, under the dram shop law in Iowa, the person who causes the alcohol-related injuries can be either a minor or an adult.

Siouxland Dram Shop Law Firm

In order to prevent dram shop lawsuits against your business, it is important that you teach your employees to always check IDs, and implement a training program for them to help handle intoxicated customers. If you are dealing with a dram shop case, our team of defense attorneys is well equipped to help you win it.

Contact Fitch & Stahle Law Office at (402) 494-3012 for a free consultation.

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.
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