Introduction
When hosting events such as food and wine festivals, it is very important for organizers to consider many factors. First, they must consider a venue and what all will be necessary to make the venue work for the event’s needs. Next, the organizer must find vendors for the festival. This will typically include vendors from various wineries, and even local breweries, along with some food trucks or other restaurants. An added bonus for these festivals is the addition of entertainment and vendors with non-consumables. When adding all of these variables together, event organizers are faced with large-scale events that can be quite enjoyable for attendees. The problem for organizers, however, is that these festivals can also lead to legal action in the case of anything going wrong. This paper aims to uncover some of the liability issues that may arise during the production of food and wine festivals.
An Overview of Food Liability
There are a number of aspects by which a liability claim could be brought against restaurants and food vendors. The majority of the time when a claim is being brought against a restaurant or another aspect of the food production chain, it is the result of a foodborne illness. Additionally, claims may arise if a consumer experiences harm as a result of consuming an allergen. When it comes to food liability cases, negligence claims are the most common type of claim. Under these circumstances, a defendant may be liable for a defendant’s medical expenses, permanent injury, or even loss of enjoyment of life (Thomas, 2020).
Food Sales
When it comes to food liability, the seller of the food is liable for any damages to the consumer if the food makes the consumer ill. Within the chain of production for the majority of restaurant food products, there are many steps by which contamination can occur. The chain of production includes growers, packagers, transport, distributors, retailers, and finally the consumers. If a consumer comes down with a food-borne illness as the result of consuming a food, it is the responsibility of any step in that chain of production to prove that they received damaged or contaminated food. At that point, the point in the chain by which the food was damaged would be considered liable (Thomas, 2020).
Allergens and Food Damages
Another point of vulnerability when serving or selling food to consumers is the possibility of food allergens. The most common food allergens include eggs, milk, soy, fish, shellfish, groundnuts, and tree nuts. If a food contains any of these items, it must be listed on the food packaging. When there is no packaging involved, it can be very important for sellers to make consumers aware that a food may contain a specific allergen. If a seller isn’t aware of a consumer’s food allergy, then the seller may not be held liable for any reaction or damages that the consumer may face as a result of the food consumption. For the sake of being safe, however, servers should always ask guests about any food allergies that they have. When it comes to a food festival, it is often the safest bet for a seller to avoid selling foods with common allergens, unless they are able to provide all guests with information regarding the allergens in the dish. It should be noted that the same principles apply when it comes to a consumer’s food restrictions. If a guest is prohibited from eating a specific food, albeit for religious, medical, or other reasons, then a seller must ensure that the guest is safe from these foods if they have knowledge of the restrictions (Thomas, 2020).
Raw/Undercooked Foods
One highly common cause of foodborne illnesses is the consumption of raw or undercooked foods. This type of food consumption is especially dangerous for those with preexisting medical conditions. If a restaurant serves any foods raw or undercooked, it is the standard of the restaurant industry to provide all guests with warnings regarding the dangers of consuming foods that have not been cooked to full temperature. Failure for a restaurant to do so would constitute negligence and would make the restaurant liable to a consumer who falls ill as a result of that food consumption (Thomas, 2020).
When considering foodborne illnesses, it is important to note some of the most common illnesses: staphylococcus, E. coli, salmonella, and Hepatitis A. These illnesses are either caused by a virus, bacteria, or other parasites that can be found in food products. The microorganisms are introduced to food products when they are not handled or prepared properly and can cause many symptoms from nausea, vomiting, diarrhea, and fever to various organ problems and can even lead to death (Canwest News Service, 2010). In fact, the Center for Disease Control (CDC) estimates that approximately 76 million cases of foodborne illness occur each year, with these cases leading to around 325,000 hospitalizations and approximately 5,000 deaths (Holt, 2008).
A couple of notorious instances of foodborne illnesses were incidents of an E. coli outbreak and a Hepatitis A. E. coli is one of the leading causes of foodborne illness. Although it is naturally found in the intestines of farm animals, it is introduced to humans when they consume raw or undercooked foods and can make them very ill. In 2006, spinach from a food producer called Natural Selection Foods, LLC led to a large outbreak of E. coli in Wisconsin and Oregon. When investigating the cause of the illness, it was found that the spinach was contaminated with cow feces. A similar outbreak of Hepatitis A occurred in Pennsylvania in 2003, when contaminated green onions were served at multiple Chi-Chi’s restaurant locations. Cases of foodborne illness are currently decided upon based on product liability laws, which state that a plaintiff must prove that a food product that they consumed was contaminated and that the harm suffered by the plaintiff was directly caused by the consumption of the product (Holt, 2008).
An Overview of Liquor Liability
Any seller of alcohol must always be aware of all laws and regulations regarding the sale of alcohol. Additionally, they should be knowledgeable of the many circumstances under which they could be held liable should the sale of alcohol lead to danger or harm to another person. When a food and wine festival is underway, there are multiple sellers of alcohol who must be sure to do so responsibly, as failure to do so could lead to a negligence claim (Thomas, 2020).
Dram Shop Laws
Alcohol laws differ from state to state and country to country. In the United States, however, the majority of states have adopted dram shop laws. Dram shop laws create liability for sellers of alcohol that go further than simply negligence for matters of public policy. These laws are created to protect members of the general public from those who drink too much and may cause harm or injury to third parties as a result of their alcohol consumption. Therefore, dram shop laws create a link between alcohol sellers and the third parties who have experienced damages. In most states, there are three categories by which dram shop laws create liability issues for alcohol sellers: minors/those under 21 years of age, those who are already intoxicated or under the influence, and known alcoholics. If any seller of alcohol sells to someone that falls under these three categories, and that person should go on to cause harm to a third party, then the alcohol seller will be held strictly liable to anyone injured. If the person who consumed alcohol is a minor or underage, then the alcohol provider would additionally be liable to the underage person. It should be noted that this is one of the only scenarios in which the drinker is protected from the seller (Thomas, 2020).
Social Host Liability
An additional factor related to potential liability issues with the sale or service of alcohol is social host liability. Under social host liability, any adult who serves or provides alcohol to minors or to other persons who are clearly intoxicated can be held liable if the drinker is killed or injured or kills or injures a third party. In states where this is the law, this liability issue should be of particular interest to all event organizers who plan events where alcohol is served. Even if the organizer has not served the alcohol themselves, they may still be liable if it can be proven that they are the host of the event (Thomas, 2020).
An Overview of Event Liability
When planning events, there are many legal laws and regulations that must be considered. For example, there are various permits that must be procured prior to the event based upon some event specifics. A special event is defined by Mckellar (2019) as “any licensed transitory public gathering that takes place at a given location for a specific purpose that is self-limited in connection with a fair, carnival, circus, public exhibition, celebration, tasting event, or trade show. Any event cannot exceed 14 days’ time.” Under this definition, a food and wine festival would certainly be considered a special event.
Rules and regulations governing special events vary from state to state, and around the world as well. In general, however, the necessary permissions and regulations are similar from one place to another, and information regarding requirements for hosting events in a specific location can generally be found on that location’s official website. In Nevada, for example, some of the permits necessary to hold a festival include a Temporary Membrane/Building Structure/Tent-Outdoor-Fire Department Permit if a tent larger than 400 square feet is to be erected on the location premises. Additional permits would be necessary for added entertainment such as fireworks or animals. Special event permits are a requirement almost everywhere in order to hold a large festival. In most locations, these permits can be found on a location’s official website as well and should be turned in well in advance of the event.
When food and alcohol is to be served at a special event, additional permits become necessary. First, the organizer of the event is required to obtain an event coordinator permit, and the event coordinator is required to turn in and confirm all other permits in advance of the date of the event. Other permits necessary include temporary food establishment permits, special event liquor licenses, and a health permit for the special event. It should be noted that most food trucks will already be in possession of temporary food establishment permits and should not be permitted to participate as a vendor at an event without furnishing proof of their possession of the necessary permits. When hosting a food and wine festival, therefore, all of the above permits will be required in order to ensure event compliance with local regulations (Mckellar, 2019).
Thaddeus Segars v. Hilton Head Wine and Food, Inc.
In 2006, Sea Pines Resort hosted the 31st annual Hilton Head Wine & Food Festival. Thaddeus (Tad) and Kellie Segars attended the festival, and during the course of the festival., Tad was brutally assaulted by an intoxicated attendee. The attack left tad with a broken jaw and detached retina. As a result of his injuries, Tad suffered complications with working and overall quality of life. Tad’s attacker was heavily intoxicated, leading Tad to sue the attacker, festival, venue, and security company for the venue. If each of the aforementioned parties had met their duties of care, the attacker would not have been permitted to drink to the point of such intoxication that he caused physical harm to others. This kind of behavior is exactly the kind of behavior that dram shop laws are implemented in most states to protect third parties against. While South Carolina does not have dram shop laws, however, it was still within the realm of the duty of care of festival staff, venue staff, and the security company to ensure the safety of festival attendees. Their negligence in allowing Tad’s attacker to be continuously served alcohol beyond the point of intoxication is a failure to meet this standard of care. The interesting thing to note, however, is that the lawsuit was not filed against any specific winery that was serving or selling wine at the festival. Instead, the lawsuit was filed against the entire festival (Kokal, 2019).
Analysis and Management Suggestions
It is important to consider food, alcohol, and event liability issues separately in order to truly understand the plethora of issues that could arise from the ill-planning of a food and wine festival. Not only are festival organizers faced with potential food liability issues but adding on alcohol and additional special event rules and regulations present added complications. To further complicate things, festivals are typically quite large-scale which further adds to the complexity of the event and the many legal issues that must be considered.
As an event manager, there are many factors that must be considered in order to protect myself and others from liability issues that may arise as the result of the production of a food and wine festival of any scale. One of the largest takeaways, in my opinion, is the need for a comprehensive liability insurance policy on every event. Not only should I have liability insurance as an organizer, but I should also require proof of liability coverage by any and all vendors that I may hire to assist in the production of the event. With the many things that could go wrong, it is best to always be safe when planning events and ensure that you will be protected against any personal or business liability should complications arise.
Even with liability insurance, however, it is best to do all that you can as an event organizer to avoid any legal issues from the beginning. To do so, managers must choose vendors and enter into all contracts with utmost caution. Vendors should not simply be chosen based upon their cost or a particular amenity that they have to offer. It is an event managers responsibility to conduct research on all vendors prior to making vendor choices. Only once the event manager is equipped with all necessary information about vendors should they consider entering into a contract with them. All contracts must be carefully analyzed, adapted, and suited for the specific event at hand.
In addition to selecting reputable vendors for any event, event managers must also ensure that all persons working at the event are properly trained in any areas in which they will be working. If they will be working with food sales, then they should be trained in proper food preparation and service in order to ensure that they follow all necessary precautions to avoid any food liability. If a worker will be handling alcohol sales, then they must be fully trained on all rules and regulations regarding the sales of alcohol. This is especially important, as alcohol laws vary considerably from state to state. Therefore, staff serving or selling alcohol must be aware of alcohol laws for the particular location in which the event is taking place, and being informed about surrounding areas is also a good idea as well.
Within the hospitality industry, there are various standards of the industry that come with duties of care that all businesses owe to their guests. Hotels have a duty of care to ensure that they provide guests with clean and safe lodging during the duration of their stay. Event venues have a duty of care to ensure the safety of events from violent or other terroristic acts. Food retailers have a duty of care to sell food that is fresh and has not been contaminated. And alcohol sellers have a duty of care to protect the general public by only selling alcohol responsibly. Organizers of a food and wine festival must consider all standards of the industry and ensure that they are showing all patrons the duties of care that they are owed.
References
Holt, A. (2008). Alternative liability theory: Solving the mystery of who dunnit in food-borne illness cases. Pittsburgh Journal of Environmental and Public Health Law. (March 11, 2010 Thursday).
Food-borne illness: protecting your family against food poisoning. Canwest News Service. https://advance-lexis-com.ezproxy.fiu.edu/api/document?collection=news&id=urn:contentItem:7Y0F-2MW1-2SFB-50VR-00000-00&context=1516831.
Kokal, K. (2019). 2 lawsuits filed after punches thrown at Sea Pines festival. Here’s where they stand. The Island Packet. Retrieved from https://www.islandpacket.com/news/local/crime/article229900489.html
Mckellar, M. ESQ. (December, 2019). ARTICLE: VEGAS LOVES FESTIVALS. Nevada Lawyer, 27, 24. https://advance-lexis-com.ezproxy.fiu.edu/api/document?collection=analytical-materials&id=urn:contentItem:5XPT-SM41-DXHD-G000-00000-00&context=1516831.
Thomas, J. (2020). Food and alcohol liability. Personal Collection of J. Thomas. Florida International University, Miami, FL.
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