It is the policy to never serve anyone approaching intoxication. Anyone responsible for the service of alcohol (employee or volunteer) must follow this rule or be discharged. The same should also apply to anyone responsible for the service of alcohol who is observed drinking alcohol while on duty. Lodge management is asked to post a sign (shown below) that prohibits anyone responsible for the service of alcohol from drinking alcohol while on duty (bartenders and wait staff):

NO DRINKING ON DUTY

The practice of ANYONE drinking alcoholic beverages while on duty is unacceptable and

strictly prohibited. This applies to both volunteers and paid employees. NO exceptions.

Anyone found drinking while on duty will be immediately relieved of their duties.

Bartenders are instructed not to serve alcoholic beverages to anyone on duty. Anyone caught

violating this policy will be immediately relieved of their duties.

State accident prevention chairmen and Lodge accident prevention managers must continuously repeat the message about the safe service and use of alcohol. The membership was recently informed of a verdict totaling $28 million (including $10 million in punitive damages*) in a case involving a local
Pennsylvania Lodge; it was alleged that a non-Elks member was improperly served alcohol while attending an Elks sponsored function.

It is essential that Local Lodges properly control the service of alcohol. It is also crucial that Local Lodges recognize the primary reason they have a liquor license and maintain bar facilities, which is to provide the service of alcohol to Lodge members and their guests. Under no circumstances should Local Lodges view the service of alcohol as a commercial activity for service to the public.

It has been stated many times that no person approaching intoxication should ever be served (anyone who violates this policy should be terminated). Those serving alcohol should be trained to count the number of drinks provided to an individual; therefore, it is strongly recommended that all those involved in the service of alcohol—including volunteers—take a training course.

Service of Alcohol to Members and Guests

The service of alcohol is a privilege the Lodge extends to Members and their guests, not a means of revenue for the Lodge. Cutting off a Member or guest who is approaching intoxication is better than defending a multi-million dollar lawsuit.

Never serve anyone approaching intoxication;

Do not let others buy drinks for anyone who might be close to intoxication;

Stop service to anyone else if they will give drinks to anyone approaching intoxication;

No beer kegs, no pitchers and no coolers;

Remind Members/guests not to drink and drive;

Be observant while serving alcohol;

Encourage designated drivers;

Never permit BYOB;

Do not allow games/contests involving alcohol consumption;

An outdoor tent/bar must have a server;

Do not hold a “Happy Hour”;

Never discount prices to promote liquor sales;

“Last call” should be well before closing;

Insist on a taxi or a ride for anyone who drank too much; and

Members that have a problem need our help, now!

As we have frequently pointed out, all those who serve alcohol should be certified and have proper training.

This is true whether they are employees or volunteers. Those who serve alcohol must also be observed, monitored and controlled by Lodge management on a continuing basis.

During the selection process for servers (employees and volunteers), the Lodge management must make prudent choices to avoid claims and/or other problems. The following are some situations where servers should be rejected or subjected to further investigation:

• Any person known to drink while serving alcohol or observed doing so.
• Any person having several drinks at the Lodge after his/her shift is over.
• Any person known or suspected of being a substantial alcohol user or considered in any way to be a problem drinker.
• Any person known to have an aggressive nature, a short temper or any history of violence.
• Any person employed to serve alcohol before a complete check has been conducted in relation to prior employment.
  

These servers are the front line of defense against liquor related claims. They should not have problems themselves, nor should they cause problems but, most importantly, they must be responsible to members and guests throughout the alcohol service process.

There has been a trend where commissary corporations or others with contracts with event sponsors attempt to have not-for-profits

act to serve alcoholic beverages at such events for a percentage of the proceeds but the not-for-profits must provide the liquor insurance. Those entities presently holding events or entities with concession contracts will attempt to have not-for-profits become responsible for liquor liability by providing some share of sales of such items. This is not acceptable.

The Elks cannot afford to allow Elks Lodges to misuse the Self-Insured Master Liability Program in this fashion. If the Lodges were insured by individual policies, they would not be allowed to function in this way in most cases because of underwriting rules. As has been stated previously, there have been recent verdicts of over 100 million dollars entered against other not-for-profit organizations where service was provided at such outside events.

The Elks Self-Insured Master Liability Program assumes the first 1 million dollars of each and every occurrence. The local Lodges’ assessments are predicated on the normal exposure derived from Lodge operations, not on expanded less controllable exposures outside the Lodge. With that in mind, it was decided that certificates of insurance naming anyone additional insured will not be issued for any Lodge when an event involves serving alcohol to the public.

The rule with the service of alcohol is that no person approaching intoxication is to be served under any circumstances. This is harder, if not impossible, to do in an event circumstance.

The Order cannot allow other organizations to use the Self-Insured Master Liability Program in this improper fashion. The Self-Insured Master Liability Program includes liquor coverage for service at the Lodge. Lodges should not assume they should participate in a commercial service that benefits other organizations or presents an exposure not related to the operation of the Lodge facility.