Provided by: Judge Ruth B. Kraft 
 

I hope that everyone had a wonderful Memorial Day weekend.  Many companies take advantage of the wonderful summer weather to host golf outings or cookouts.  These parties offer the opportunity to unwind, socialize and reward achievements.  However, employers need to recognize that out-of-the-office social functions can raise a variety of legal problems, particularly if alcohol is served.  Looking forward to July 4th and other summer celebrations, here are Judge Ruth’s tips on how to avoid a legal hangover:
 

  1. Keep in mind that the same rules that apply in the workplace must be enforced at holiday parties. This includes policies that prohibit sexual and other forms of harassment.  If you hire a band or DJ for your event, be explicit that this is a professional functions (and this means asking for a list of songs and screening for explicit language).  There is also a fine line between “roasting” and public humiliation.  Gag gifts and remarks should be vetted and approved in advance in the best of circumstances.
  2. An employer must be acutely aware of the risks posed by serving alcohol and consider options to reduce those risks.  In New York, a “social host” is not liable for alcohol-related accidents or injuries suffered off-premises by third parties. However, if a party goer crosses state lines, a claim could arise in another jurisdiction which does not restrict such liability.  Keep in mind that the bar on liability does not allow to social hosts  when alcohol is served illegally, as to adolescents.  Employers should, therefore, insist that bartenders check ID to ensure that liquor is not being served to underage attendees.  Additionally, an employer has a duty to prevent harm to those on its property and in areas under its control, which could include an off-site facility rented for a staff party.  If the employer learns that an employee or guest is intoxicated or acting improperly, it must take reasonable steps to prevent escalation of the situation.
  3. Plan ahead to ensure safety and mitigate risks:
  4. Arrange for group transportation to and from the event
  5. Confirm that your caterer and/or bartender have sufficient liability insurance
  6. Instruct bartenders to pour conservatively, to “cut off” anyone who appears intoxicated, and to prohibit guests and employees from serving drinks.
  7. Limit the amount of alcohol served.  Provide non-alcoholic options, reduce the hours for an open bar, give attendees vouchers for drinks.
  8. Assign trusted workers to watch for excessive drinking and inappropriate behavior.
  9. Contact your insurance company to confirm that your policies provide coverage for the event and, if not, purchase additional coverage.
  10. Consider alternative formats which tend to discourage heavy drinking, such as a brunch or party with spouses and children.

 
ADDITIONAL CONSIDERATIONS

  • Advise employees that attendance is strictly voluntary.  It is important to refrain from any activities that could be viewed as work compensable under the Fair Labor Standards Act.
  • Do not schedule the party on a day that conflicts with any employee’s religious observances.
  • Stick to a party theme that does not engender feelings of exclusion by emphasizing a particular set of traditions or beliefs.   If you are celebrating July 4th, that is fine but the theme should be inclusive.

 

 

Have a question or comment?
Contact Jennifer at Jennifer@Kirschenbaumesq.com or at (516) 747-6700 x. 302.