Most states have a dram shop law to deter providers of alcoholic beverages (servers, liquor stores, bars, restaurants) who sell or serve alcoholic beverages under authority of a license or permit from selling or serving alcoholic beverages to obviously intoxicated individuals.

These laws generally eliminate any liability of servers, liquor stores, bars, and restaurants when a person to whom they sell or serve alcohol causes personal injury or property damage—whether in an automobile accident, a fight, or other incident—unless the person to whom they sell or serve alcohol is obviously intoxicated.

Laws regarding dram shop liability vary from state to state and are usually located in a state’s statutes.

In Mississippi, dram shop laws are codified under Mississippi Code Section 67-3-73. These laws allow for a cause of action against a business that sells alcohol if it can be proven that the business sold alcohol to a visibly intoxicated person or to a minor, and that the intoxication of that person was the proximate cause of the damages suffered. This means that bars, restaurants, liquor stores, and other establishments that serve or sell alcohol can be held liable if they serve an obviously intoxicated individual who then goes on to cause harm to themselves or others, such as in a car accident or a fight. However, the burden of proof is on the injured party to demonstrate that the server knew or should have known that the individual was visibly intoxicated. It's important to note that Mississippi's dram shop law does not extend liability to social hosts who serve alcohol in a non-commercial setting.