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B26-0774 • 2025

Dram Shop Clarification and Liquor Liability Insurance Amendment Act of 2026

Dram Shop Clarification and Liquor Liability Insurance Amendment Act of 2026

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Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
Crawford
Last action
2026-09-22
Official status
New
Effective date
Not listed

Plain English Breakdown

The effective date is conditional on Mayor approval and a congressional review period, so it has no fixed start date yet.

Dram Shop Clarification and Liquor Liability Insurance Amendment Act of 2026

This bill limits the amount of money that can be awarded for emotional harm in lawsuits against alcohol sellers who serve minors or drunk people, and it requires a study on insurance costs.

What This Bill Does

  • Caps non-economic damages at $500,000 in civil cases involving the sale of alcohol to minors or intoxicated persons.
  • Increases this damage cap by $50,000 every ten years starting January 1, 2037.
  • Requires the Department of Insurance, Securities and Banking to study if minimum insurance rules would lower premiums for nightlife businesses in Washington D.C.
  • Directs the department to compare how other states handle liquor liability insurance coverage.

Who It Names or Affects

  • Businesses that sell alcoholic beverages in Washington D.C.
  • People who file civil lawsuits against alcohol sellers
  • The Department of Insurance, Securities and Banking

Limits and Unknowns

  • The bill does not take effect until the Mayor approves it (or overrides a veto) and Congress reviews it for 30 days.
  • The study on insurance premiums must be finished within 180 days of the law taking effect, but no results are included in this text.

Bill History

  1. 2026-09-22 Council of the District of Columbia LIMS

    Referred to Committee on Judiciary and Public Safety

  2. 2026-07-14 Council of the District of Columbia LIMS

    B26-0774 Introduced by Councilmember Crawford at Office of the Secretary

Official Summary Text

Dram Shop Clarification and Liquor Liability Insurance Amendment Act of 2026

Current Bill Text

Read the full stored bill text 
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1
_________________________ _________________________ 2
Councilmember Christina Henderson Councilmember Doni Crawford 3
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A BILL 6
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_________________________ 8
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IN THE COUNCIL OF THE DISTRICT OF COLUMBIA 10
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_________________________ 12
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To amend Title 25 of the District of Columbia Official Code to cap non-economic damages in 15
civil actions for the sale of alcoholic beverages to minors and intoxicated persons; and to 16
amend The Department of Insurance and Securities Regulation Establishment Act of 17
1996 to require the Department of Insurance, Securities and Banking to conduct a liquor 18
liability insurance analysis. 19
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BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 21
act may be cited as the “Dram Shop Clarification and Liquor Liability Insurance Amendment 22
Act of 2026”. 23
Sec. 2. Section 25-787(a) is amended by adding a new paragraph (3) to read as follows: 24
“(3)(A) In any civil action brought pursuant to paragraph (2) of this subsection, the total 25
liability for non-economic damages in any such action shall not exceed $500,000.”. 26
“(B) Beginning on January 1, 2037, and on January 1st of every 10 years 27
after January 1, 2037, the amount provided in paragraph (1) shall increase by $50,000.”. 28
Sec. 3. Section 4 of the Department of Insurance and Securities Regulation Establishment 29
Act of 1996, effective May 21, 1997 (D.C. Law 11-268; D.C. Official Code § 31-103), is 30
amended by adding a new subsection (a-1) to read as follows: 31
“(a-1) Within 180 days after the effective date of the Dram Shop Clarification and Liquor 32

2

Liability Insurance Amendment Act of 2026, introduced on July 14, 2026 (introduced version of 33
B26- ___), the Department of Insurance, Securities and Banking (“Department”) shall conduct 34
an analysis determining whether requiring minimum liquor liability insurance coverage would 35
decrease existing liquor liability insurance premiums for nightlife establishments in the District. 36
In conducting the analysis, the Department shall include a comparison of how other states’ 37
minimum liquor liability insurance coverage impacts liquor liability insurance premiums and any 38
other relevant issues the Department identifies.”. 39
Sec. 4. Fiscal impact statement. 40
The Council adopts the fiscal impact statement in the committee report as the fiscal 41
impact statement required by section 4a of the General Legislative Procedures Act of 1975, 42
approved October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a). 43
Sec. 5. Effective date. 44
This act shall take effect after approval by the Mayor (or in the event of veto by the 45
Mayor, action by the Council to override the veto) and a 30-day period of congressional review 46
as provided in section 602(c)(1) of the District of Columbia Home Rule Act, approved December 47
24, 1973 (87 Stat. 813; D.C. Official Code § 1-206.02(c)(1)). 48