Lawyer Commentary JD Supra United States Oregon Supreme Court Holds Employer Not Completely Immune Under Social Host Statute

Oregon Supreme Court Holds Employer Not Completely Immune Under Social Host Statute

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Oregon’s highest court has held that although the state’s “social host” law protects certain persons from liability related to their actions taken as “hosts,” there is no similar insulation from liability for alleged tortious conduct committed while acting in another role, such as employer. Schutz v. La Costita III, Inc., 364 Or. 536 (March 14, 2019).

Ashley Schutz worked for construction firm O’Brien Constructors, LLC, as a receptionist. Over the course of her three months on the job, she had declined multiple invitations by her supervisor (the owner’s son) to join him and other employees for after-work drinks. Despite her previous refusals, she felt pressured to accept an invitation so that her growth in the company would not be negatively impacted. Ultimately, she agreed to leave work early one evening to join her supervisor and coworkers at a nearby bar and restaurant. At the gathering, the supervisor encouraged the employees to drink and even teased another employee for attempting to leave after only two drinks. Schutz became extremely intoxicated and was later involved in a car accident, resulting in severe injuries.

Schutz brought a civil action for negligence against the restaurant (which was quickly dismissed under the social host statute), the supervisor, and the employer. Oregon’s social host law...

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