It is traditional for business owners to invite employees to share a little holiday cheer each December, but these opportunities to let loose can also come with legal concerns for business owners.
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updated November 28, 2023 · 3min read
It is after hours, and the annual company holiday party is in full swing. It may be freezing outside, but it's heating up inside as you sip another glass of champagne and notice the cutie from marketing standing dangerously close to the mistletoe. What's the harm in offering to share your merriment?
If you're a business owner, the answer is plenty.
Such scenarios can be fraught with danger for employers. Not only are holiday parties subject to the normal "social host" laws that will hold them liable for drunken guests who create mayhem or worse, but they may also be facilitating sexual harassment.
Certainly, parties can be a great way for companies to make employees feel appreciated and for people to relax, get to know each other, and share the joys of the season. However, it is important to get familiar with the legal liabilities associated with hosting a business part so that you can avoid potential problems and possibly, even lawsuits.
When you serve alcohol at a holiday party, you are taking responsibility for your guests' consumption. In many states, if a host serves more alcohol to a drunk guest, the host becomes liable if that guest then drives drunk and causes damage or injury. So, how can you limit the danger to your business when you are serving drinks?
Sexual harassment can come in many forms, and the holiday party can provide a perfect environment for most of them. By combining a relaxed, party atmosphere and alcohol, your holiday festivities can quickly erode inhibitions. What can you do to prevent sexual harassment occurrences at your winter shindig?
It is possible to have a legally safe holiday party at your office as long as you take care of your potential liabilities. Besides, serving less alcohol might prevent them from getting yet another picture of your "Santa sings karaoke" act.
by Ann MacDonald
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