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GUIDELINES & POLICIES
REQUIREMENTS FOR SERVICE OF ALCOHOLIC BEVERAGES
ON INDIANA UNIVERSITY PREMISES

SUBJECT: Establish guidelines for the serving of alcoholic beverages on university property and in conjunction with university functions.
SOURCE: Vice President for Administration
DATE ISSUED: December, 1996
Revised August, 2000
Revised 9 Sept 2000
RATIONALE: The serving of alcoholic beverages on university property and/or in conjunction with university functions is limited by other university policies (see FMS policies and §III.B.21 in the Code of Student Rights, Responsibilities and Conduct ). This activity has an inherent risk of dangers arising from intoxication.
POLICY:
  1. The provision of and service of alcoholic beverages must be completely catered by an established firm which is currently licensed by the State of Indiana Alcoholic Beverage Commission with an "off-premises" permit. Neither University staff nor the customer will be permitted to provide the beverages, serve them, or in any way handle the service. All persons engaged in the service must be agents of the licensed caterer.
  2. The services of the beverage caterer must be contracted for by the customer (user) of the University premises, not by the University.
  3. No alcoholic beverages may be served for any group of undergraduate students of the university, or for any function where it is reasonable to expect consumption by persons under the age of twenty-one years.
  4. In the event of a claim or suit against the university arising from a use of alcoholic beverages contrary to this policy, the involved department will be responsible for 10% of the resulting damages, including claim expenses, subject to a minimum of $1,000 (or the total claim cost, if it should be less than $1,000) and a maximum of $25,000.
DEFINITIONS:
PROCEDURE REFERENCE: Procedures for provision of insurance and contracts when alcoholic beverages are served
CROSS REFERENCE:
RESPONSIBLE ORGANIZATION: Office of Risk Management

Procedures for provision of insurance and contracts when alcoholic beverages are served

  1. The contract with the user of the premises will provide certain protections for the University as follows:
    1. At least three business days prior to each occasion alcohol is to be served, the University contact person for this function must receive a fully executed, original copy of the contract along with a copy of the caterer's State of Indiana permit for that specific occasion.
    2. The contract will provide that the caterer indemnify and hold harmless the University with respect to occurrences arising out of the service of alcoholic beverages. The language will be similar to the following:

      "______________(caterer) shall indemnify, defend and save harmless Indiana University and its agents and employees, from and against all loss, liability or damage for injuries to or death of persons or damage to property, real or personal, arising from the designated function on or about University premises (other than such injuries, death or damage resulting from an act or omission of University, its agents and employees, or licensees) or arising from the occupancy or use thereof by _________________________ (caterer), its agents, employees, invitees, or guests."

    3. The contract will provide that the caterer carry insurance which protects the University, in approximately the following form:

      "_____________________(caterer) shall maintain a policy of Commercial General liability insurance, with "Broad Form" provisions. Such policy of insurance is to be of the "occurrence" type. Said policy shall include dram shop operations or, alternatively, a separate policy of insurance, subject to all provisions of this paragraph, shall be purchased to provide coverage for dram shop operations."

    4. The amount of coverage of each policy of general liability insurance shall be three million dollars ($3,000,000) [e.g., one million dollars ($1,000,000) primary policy with two million dollars ($2,000,000) umbrella]. The amount of coverage for dram shop operations shall be three million dollars ($3,000,000), either as a part of the general liability policy or under a separate policy.
    5. The Trustees of Indiana University shall be named as an additional insured on the general liability policy and the dram shop policy, if one is obtained.
    6. In the event of suit arising from an occurrence or accident arising from ______________ (caterer's) occupancy or use of the University premises and not resulting in any part from negligence on the part of University, and such suit names University as a party to the suit, ____________________ (caterer) agrees to assume defense of said suit on behalf of University.
  2. Such policies of insurance shall be issued by an insurance company approved by the Office of Risk Management.
  3. It shall be the responsibility of the University department which reserves the University premises (e.g., Conference Bureau, Indiana Memorial Union, academic department) to insure that the contract with the caterer is executed, and that appropriate documents are delivered to the Office of Risk Management in a timely fashion.

Effective 12/96
revised 8/00
revised 11/04

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Indiana University
Office of Risk Management
400 E. 7th Street Room 705, Bloomington, IN 47405
812-855-9758 FAX 812-855-9320
A division of the Office of the Vice President for Administration, Chief Administrative Officer

Last updated: 18-Nov-2004
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