For customer service professionals, the infamous tagline seems to seep into their everyday interactions: "The customer is always right.†However, this is not always the case, and serving customers who pose liability and legal issues is a huge risk for nightclubs, bars, restaurants, and the like. While it may be challenging for some industry experts to palate, it’s important to understand how the right to refuse service comes into play in a legal and nondiscriminatory way. As we explore more about this controversial issue, ensure your clients are secured with an Adult Nightclub Insurance Package.
According to Nightclub Security Counseling, businesses are considered private property, which allows the owners to dictate to whom they will or won’t provide service. However, the majority of businesses are also considered places of "public accommodation†which means that their primary purpose is to serve the public in some way.
So, how does this affect your bar, restaurant, or club? The Civil Rights Act of 1964 prohibits "discrimination based on race, color, religion, sex, or national origin†in places of public accommodation. That means you can’t turn someone away on the basis of any of the things listed above. More recently, laws prohibiting the denial of service on the basis of sexual orientation have been passed in many US states, explains the article.
Naturally, denying anyone service based on their race, gender, or sexual orientation is morally and legally unacceptable. However, what about the rare scenario where a patron poses legal risks for a nightclub? The key for your clients to prevent lawsuits is to enact a specific code and be consistent with it.
For example, enforce a dress code. If patrons arrive dressed inappropriately, the right to refuse service becomes evident that it’s not based on something such as race, but rather a strict code of dress. However, it’s important to always be consistent across the board to reduce the risk of facing lawsuits. The rules should apply equally to everyone.
Next, if regular customers continuously cause fights, putting other patrons at risk, your clients can refuse to serve them in the future. When explaining to these individuals why they will not be served, it must be conveyed professionally and politely, as well.
At RMS Hospitality Group, we understand the inherent risks associated with operating a nightclub. In order to secure your clients’ business, we offer a variety of coverages designed specifically for specialty clubs like theirs. For more information on which policies your clients’ require, we invite you to contact our specialists today at (888) 359-8390.
At RMS and associated firms, business continues as usual. Our staff is remote-capable and available to handle all partners, brokers, and insureds at the present time.
