As a business host, you must be aware of your potential liability arising from the many social events that often take place in December where alcohol will be served. Plan ahead and take steps to protect your employees and guests - it can reduce your prospect of being sued in the event of an accident.

Don't Let Them Drive

Despite your best efforts, an employee or guest may become intoxicated. You need to think about how you will respond. The company must take a zero tolerance stance in which no employee will be allowed to drink and drive. This must be communicated clearly to all employees before an event.

Safe Workplace Extends To An Event Or Party

As an employer you have a duty to provide a safe workplace. This duty extends to any event or party that you host or organize. Take care not to introduce conditions into the workplace that could put an employee at risk without taking appropriate precautionary actions.

Someone May Behave Stupidly & Recklessly

The risks are not limited to drunk driving. At social events, it is not uncommon to encounter some irresponsible behaviour by a guest that could endanger other guests. You have a legal duty to supervise your guests and to protect your guests.

Plans & Policies Make Sense

Events, especially larger ones, require proper planning and clear policies. Ask yourself the following questions.

• How will we monitor and, if necessary, control alcohol consumption?
• How can we discourage over-consumption?
• How will we ensure that our employees and guests arrive home safely?
• Will we self-insure or seek third party insurance to protect against risks that we know cannot be completely eliminated?

Pointers To Consider

If you host a business party where alcohol is served:

• Do not combine alcohol with potentially dangerous activities, such as skiing, snowboarding or snowmobiling. If this is not possible, ensure that alcohol is only available after the physical activities are completed.
• Have a professionally managed bar and offer your guests non-alcohol and low-alcohol drinks. Do not encourage intoxication by serving double shots.
• Do not serve alcohol to a guest who is already intoxicated.
• Remember that an intoxicated guest may be at considerable risk even if he or she is not driving home.
• Check the premises for potential hazards. A normally safe condition may endanger an intoxicated guest since drinking affects judgment and co-ordination.
• Do not permit drinking competitions or other games that promote intoxication.
• Line up alternative transportation, whether designated drivers or taxi vouchers.
• Stop serving alcohol a while before the party ends. Have alcohol-free drinks and coffee available.
• It is not enough to just ask your guests if they are all right as they are leaving. Make specific enquiries as to how your guests are planning to get home.
• Be resolute and intervene, if necessary. Decide now how you will act when faced with an inebriated employee or guest who will not surrender his or her car keys.

Exposure To Damages Claims

December is a time when many businesses entertain customers and employees. Frequently alcohol will be consumed. Any business host who gives his or her intoxicated guests alcohol or who ignores their safety is exposing themselves and their companies to large damages claims.

Recent Court Decision

In the recent case of Childs v. Desormeaux, the Supreme Court of Canada declined to recognize social host liability, finding that pure social hosts do not owe a general duty of care to users of public highways. While an interesting development, this case is not likely to change the obligations placed on employers with respect to functions with a clear employment connection, since employers cannot be considered purely social hosts and will have a duty of care towards employees attending a work-related function even where a social host would not have such an obligation towards his or her guests.

Smoking & Parties In The Workplace

As of May 31, 2006, the new Smoke-Free Ontario Act, became law in Ontario. The new Act provides for a near complete ban on smoking in the workplace. More specifically, the Act does the following:

• Bans smoking outright in "enclosed workplaces" which are defined to include the inside of any building or vehicle with a roof that employees work in or have to access in the course of their employment;
• Bans smoking outright in all "enclosed public places". These are defined to include the inside of any place building or vehicle with a roof that the public is ordinarily invited or permitted access to, whether or not a fee is charged for admission;
• Bans smoking in specifically named places such as common areas in condominiums, apartment buildings, university or college residences, schools or private schools, day nurseries, reserved seating areas of sports arenas or entertainment venues;
• The Act specifically prohibits smoking in "smoking shelters" by employees (whether or not they are in the course of their employment at the time). A "smoking shelter" is now defined to include a place or area with a roof and more than two walls. A roof can be temporary or permanent. A wall can include even a movable or temporary barrier. This means that smoking is prohibited where the shelter is truly "enclosed" by more than two walls;
• Contains reprisal provisions for situations where workers believe that punitive measures have been taken against them for attempting to enforce their rights under the Act;

Questions?

If you have any questions or comments regarding matters discussed in this newsletter, or you would like some assistance in developing preventative strategies, please contact: Ruben Goulart goulart@kmblaw.com or Patrizia Piccolo ppiccolo@kmblaw.com.

Our group provides comprehensive legal and Human resource management support at all levels to business owners and Human Resource executives.

The comments in this newsletter are of a general nature and are not designed to replace professional advice in specific situations. If you would like extra copies of this newsletter, or you know of anyone who would be interested in joining our mailing list, please contact Cheryl Woolcott at (905) 276-9111.