What does Dram Shop law primarily address?

Prepare for the Alcoholic Beverage Control (ABC) Permit Exam with questions and explanations. Boost your knowledge and confidence to pass the exam successfully!

Dram Shop law primarily addresses the legal liability of establishments that serve alcohol, specifically concerning the harm they may cause to patrons and third parties as a result of serving alcohol to customers, especially those who are visibly intoxicated or minors. These laws are designed to hold bars, taverns, and other alcohol-serving venues accountable for their role in alcohol-related incidents, such as injuries or fatalities caused by drunk driving or other alcohol-fueled violence.

By focusing on legal liability, Dram Shop laws aim to encourage responsible serving practices and enhance public safety. Establishments could face lawsuits if they are found liable for over-serving patrons or serving underage individuals, which can lead to significant legal and financial consequences.

The other choices, while related to alcohol control, do not capture the essence of Dram Shop law. Providing discounts on alcohol sales is more about pricing strategies than liability. Regulations on alcohol advertising address marketing practices but do not pertain to the accountability of servers. Similarly, permits required for selling alcohol relate to licensing and regulatory compliance rather than the legal responsibilities tied to serving alcohol.

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