Are you throwing a party for your employees this year? If so, it would be a good idea to focus on the spirit of the season and put a lid on the spirits. The reason: if you allow or offer alcoholic beverages at a workplace party or company-sponsored party off-site, you could be legally liable for damages if one of your employees has an accident or performs negligent acts while under the influence of alcohol served at the party.

The US Department of Labor reports that according to the National Highway Traffic Safety Administration's (NHTSA),"the annual employer cost of motor vehicle crashes in which at least one driver was alcohol-impaired is more than $9 billion, including wage-risk premiums.

"Furthermore, if the employee caused the crash or is arrested for impaired driving even if a crash did not occur, administrative and legal procedures such as court time and traffic school may require further time away from work. And certainly no employer can deny the emotional difficulty and decreased morale employees experience when a colleague suffers from a severe injury or dies--two unfortunate, but not uncommon, outcomes of mixing alcohol and driving. "

If your business is a restaurant or bar or other establishment where alcoholic beverages are served, you have even more exposure to risk from office parties. In some localities you could be held liable if an individual consumes alcohol at your establishment and subsequently causes a crash.

The best way to prevent someone from driving while impaired after an office party is to not allow the consumption of alcoholic beverages. Remind employees of your company policy on alcohol use in any work-related situation, and let them know that also applies to work-related social functions.

Post the policy where everyone can see it. Put it in your break room, post it on bulletin boards, send email to employees reminding them of the policy, and put it in their paycheck envelopes.

If, despite the risks, you decide to serve alcohol anyway (even just beer or wine), remind employees that they are expected to behave responsibly and not over-indulge. Make sure there are plenty of non-alcoholic beverages available, too.

Arrange in advance to have alternate transportation available party goers who need it. Remember, in some states, the DUI laws are so tough, that even one glass of beer or wine at a dinner could cause someone to be convicted of DUI.

For more information about employers' legal liability when alcohol is served at a company function, see the US Department of Labor's page about Impaird driving.

For additional tips on minimizing liability, read the DOL's Nine Tips for Office Celebrations.

More: Office Party Survival Tips

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