DeBolt v. Kragen Auto Supply, Inc.

Citations: 182 Cal. App. 3d 269; 227 Cal. Rptr. 258Docket: Docket Nos. D003244, D003185

Court: California Court of Appeal; June 11, 1986; California; State Appellate Court

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Bruce DeBolt, Tiffany Lee DeBolt, Bridget Marie O'Toole, Jerilyn S. Jones, and Tomas Moreno (collectively referred to as the DeBolts) appeal the dismissal of their wrongful death actions against Kragen Auto Supply, Inc. after the trial court sustained demurrers without leave to amend. The case stems from an incident in July 1983, where Kragen organized a beach party and served alcohol to Christine Eigsti, a minor, who became intoxicated and was subsequently ordered to leave the party. Knowing that Eigsti intended to drive despite her intoxication, Kragen failed to provide alternative transportation or notify her parents. After refueling, Eigsti collided with a motorcycle, resulting in the deaths of Dennis Che Moreno and Barbara Sue Kraus.

The DeBolts argue that their negligence claim is based not on Kragen serving alcohol, but on its actions that led to Eigsti driving while intoxicated. However, the court disagrees, affirming the dismissal, stating that the allegations do not sufficiently establish a legal basis for liability against Kragen. In reviewing the dismissal, the court accepts the facts alleged in the complaint as true, emphasizing the need for adequate allegations to state a cause of action under any legal theory. The decision highlights the complexity of civil liability regarding injuries related to alcohol service and consumption.

In 1978, California's Legislature amended statutes to grant social hosts immunity from legal accountability for damages resulting from the consumption of alcoholic beverages they provided. Civil Code section 1714, subdivision (c) states that no social host can be held liable for injuries or damages resulting from alcohol consumption. Although sections 25602 and 25658 of the Business and Professions Code establish misdemeanors for serving alcohol to intoxicated persons or minors, section 25602, subdivision (b) provides immunity for serving an obviously intoxicated person. The only exception is section 25602.1, which allows for liability if alcohol is served to an obviously intoxicated minor. The California Supreme Court upheld these immunity provisions, even amidst concerns over drunk driving, as seen in Cory v. Shierloh and Strang v. Cabrol.

The DeBolts claim a general negligence cause of action against Kragen, arguing that Kragen's decision to ask an intoxicated Eigsti to leave, knowing she would drive, created an unreasonable risk to third parties. They assert that Kragen had a duty to avoid creating such a risk and that this duty arises from Kragen's active role in forcing Eigsti to leave, constituting misfeasance. They contend that the statutory framework regarding alcohol service and its immunities should not apply in this case. However, the court declines to disregard the established statutory framework.

In 1978, the California Legislature enacted Civil Code section 1714, subdivision (b), explicitly abrogating the Supreme Court's application of common law negligence principles to injuries related to alcohol consumption. This legislation reinstates the prior judicial interpretation that the act of furnishing alcoholic beverages is not the proximate cause of injuries resulting from intoxication; rather, it is the consumption of alcohol that causes such injuries. The court addresses DeBolt's argument that Kragen's actions of ordering Eigsti to leave and not providing safe transportation could constitute fault, stating that the statute's limitations cannot be circumvented by recharacterizing the wrong. The case of Andre v. Ingram is cited, where liability was not found when the host did not furnish alcohol but allegedly failed to warn against getting into a car with an intoxicated driver. The court reiterates that liability could not be established on grounds unrelated to the furnishing of alcohol, emphasizing that consumption is the true cause of injuries. The court also acknowledges social host immunity under Civil Code section 1714, subdivision (c), and rejects DeBolt's invocation of foreign case law, asserting that California's statutes are distinct. The court concludes that it must evaluate whether DeBolt's complaint can be amended to reflect any exceptions to the established immunity from liability, given the 1978 legislative changes.

An exception to liability for furnishing alcohol exists when a person is unable to voluntarily resist its consumption due to an exceptional mental or physical condition, but this was not applicable in Bass v. Pratt, where a minor's youth and inexperience did not qualify him for that exception. Furthermore, an employer may be liable for alcohol served at business-related events; however, in this case, Kragen, who hosted an office party, was not liable because Eigsti was not an employee but merely a guest. Therefore, Kragen's role as a social host provided immunity from liability, even though he forced Eigsti to leave the party while intoxicated. The court affirmed judgments dismissing Kragen from the lawsuit, and the petition for review by the Supreme Court was denied. The underlying complaints included allegations of general negligence, violation of statute, and survival, but the demurrers to these claims were sustained, leading to Kragen's dismissal. The appellants only appealed the negligence claim, as the statute violation was not pursued further. All statutory references pertain to the Business and Professions Code unless noted otherwise.

In *Harris v. Trojan Fireworks Co.* (1984), the California appellate court affirmed a nonsuit for Trojan Fireworks, ruling that the driver was outside the scope of employment during the accident, thus absolving the employer of liability. The case of Brockett was revisited, with plaintiffs shifting from previous allegations to a general liability claim against the employer for providing a minor employee with excessive alcohol, aware that he would drive home. Citing *Vesely v. Sager* (5 Cal.3d 153), the court reversed a demurrer and remanded the case for further proceedings. Although neither *Harris* nor *Brockett* has been explicitly overruled and may still hold legal weight based on their specific facts, *Harris* is considered an outlier. Additionally, *Brockett II* appears to be overruled by statute, and *Brockett I* may also be affected. Relevant commentary in legal reviews suggests ongoing discussions regarding employer liability in similar contexts.