During an inspection of Smokeys Steakhouse, a restaurant and bar, police officers arrested two 20-year-old women for

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During an inspection of Smokey’s Steakhouse, a restaurant and bar, police officers arrested two 20-year-old women for being in the bar while underage. Neither woman had been asked for proof of age by any Smokey’s employee and both had been served alcoholic beverages. Smokey’s Steakhouse was charged with commission of a criminal act for allowing a person under the age of 21 to remain on premises where alcoholic beverages were being sold. 


Smokey’s contended that, as a corporate defendant, it could not be liable for the crime because its bartender was acting outside of the scope of her employment in serving the women. Specifically, it asserted that one of the women was the bartender’s underage sister and that the bartender intentionally violated Smokey’s company policy against serving underage patrons. Is Smokey’s criminally liable in spite of its employee’s violation of company policy?

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Law for Business

ISBN: 978-1259722325

13th edition

Authors: A. James Barnes, Terry M. Dworkin, Eric L. Richards

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