Bill > SF2425

Introduced Session

This bill relates to civil liability and associated insurance requirements of alcoholic beverage licensees or permittees who also sell or serve consumable hemp products. Under current law, Code section 123.92 provides for civil liability and insurance requirements for alcoholic beverage licensees and permittees who sell and serve alcoholic beverages to a visibly intoxicated person (dramshop Act). The bill establishes similar dramshop provisions applicable to a licensee or permittee who sells or serves any consumable hemp product (CHP), if the licensee or permittee is also registered to sell CHPs in Iowa (Code section 204.7) or by another jurisdiction. The total amount recoverable by each plaintiff in any civil action for noneconomic damages for personal injury against a licensee or permittee who sold and served any CHP giving rise to such civil action is limited to $500,000 for any injury or death of a person, unless the jury determines that there is a substantial or permanent loss or impairment of a bodily function, substantial disfigurement, or death, which warrants a finding that imposition of such a limitation would deprive the plaintiff of just compensation for the injuries sustained. This is in addition to any amount recoverable under Code section 123.92 based on sale or service of alcoholic beverages ($250,000, with similar exceptions), and applies regardless of whether the licensee or permittee also sold or served an alcoholic beverage. The bill makes conforming changes to Code section 123.3(15) and Code section 123.10(14).

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Committee report, approving bill. S.J. 750. (on 04/04/2024)

Official Document