What type of liability does a "Dram Shop" law impose?

A "Dram Shop" law holds establishments that serve alcohol responsible for the actions of their intoxicated patrons. Specifically, this type of liability can arise if a business, such as a bar or nightclub, serves alcohol to someone who is visibly intoxicated and that person subsequently causes harm to themselves or others as a result. The rationale behind these laws is to promote responsible serving practices and to reduce instances of alcohol-related accidents and injuries.

These laws are designed to protect the public by discouraging businesses from overserving customers, thus creating a safer environment for both patrons and the general public. If an intoxicated patron leaves an establishment and gets into an accident, the injured parties may have grounds to hold the establishment liable for the damages, demonstrating the serious implications of serving alcohol irresponsibly.

In sum, the focus of Dram Shop laws is on the liability related to injuries or damages caused by patrons who are over-served, aligning with the correct choice in this question.