Liability - Alcohol at HOA sponsored social events

This is a Georgia HOA with no common buildings, only a walking trail as a "common area".

The social committee wants to have a Wine and Easter Egg event at one of the residents houses as a HOA social committee event. They have asked for a small amount of money from the HOA for it, $100. I did a quick review of our current Umbrella Policy and anything alcohol related is currently explicitly excluded. There appears to be a liquor liability option that can be purchased that we declined for the current policy.

My thought, from a liability perspective, is that we should either:

1. Purchase the liquor addendum for our umbrella policy since this is being done through the HOA.
2. Or remove the alcohol aspect from the event.

I'm supportive of the nominal spend for the event, and have no issue with alcohol at events. I just want to make sure we are not exposing the association to excessive liability by doing so (IE: not having insurance coverage). Is there any other pitfall etc. that I may not be considering here?

I think you can buy a one-time rider very cheaply. I like RoyP's idea too.

Lance, wasn't it you who was asking about Board Members having a glass of wine during a Board Meeting . . . which I think I recall you (and others here) being adamantly opposed to? Seems like your HOA is a combination of booze hounds and worrywarts!

I'm trying to figure out what a "Wine and Easter Egg Event" would be. Is this an adult-only thing or families? I say, have an Easter Egg event. Leave "wine" out of the name and publicizing of the event. If people choose to bring wine or beer to enjoy during the event, then so be it. If some idiots are guzzling bottles of wine, pounding beers, or lining up shots . . . show them the door. Otherwise there shouldn't be anything to worry about. Any money allotted by the HOA for the event should be given with the caveat that it is not to be used for purchasing alcohol.

No HOA money should not go for this. Whomever wants to participate can BYOB or pay a certain amount to cover purchase. Otherwise, keep the HOA money out of buying alcohol if the insurance has such clauses.

Steven,

Don’t be silly ... we had very well managed combined kid and adult events in my past two neighborhoods - including neighborhood movie nights.

No issues - ever.

I wouldn't do it.

The level of responsibility for hosts of parties where alcohol is present varies by State.
Therefore, you will need to verify what the applicable statutes specify.

One place I worked used to hold parties with alcohol. When a law was passed making the host responsible if someone was injured or injured someone after they left the party (without stopping elsewhere to consume more alcohol) the parties became dry. Still had fun, but the parties didn't last as long as they used to.

As others have said, since you are charging for the event, you may need special permits or licenses even if it is a members only party.

Good link, Lance - good points, especially #2.

And that person might not even be a resident......