.

Sarah E. Argo

Portrait of Sarah E. Argo

Sarah is a member of the Casualty Department, focusing exclusively on insurance defense litigation. Her clients include insurance carriers, political subdivisions, self insureds and national retail chains. She regularly handles matters involving premises liability, trucking and motor vehicle liability, municipal liability, insurance bad faith and dram shop claims. Sarah also has experience handling UM/UIM claims, natural gas drilling claims, and product liability.

As part of her practice, Sarah has successfully litigated claims against local agencies arising out of alleged dangerous conditions of publicly owned properties and successfully defended clients in motor vehicle liability claims. She has represented entities in negligence claims involving Pennsylvania's Political Subdivision Tort Claims Act, represented clients in claims involving motor vehicle liability, premises liability and bad faith and has assisted in handling various high-exposure trucking matters, products liability and other personal injury/property matters.  

Sarah graduated summa cum laude from King's College in 2005 with a Bachelor's degree in Accounting. She received her juris doctor in 2009 from The Pennsylvania State University's Dickinson School of Law.

Sarah is admitted to practice in both the United States District Court for the Middle District of Pennsylvania and United States District Court of New Jersey. She is also a member of the Pennsylvania Bar Association, Lackawanna County Bar Association and Luzerne County Bar Association.

    • Penn State Dickinson Law (J.D., 2009)
    • King's College (B.S., summa cum laude, 2005)
    • Pennsylvania, 2009
    • U.S. District Court Middle District of Pennsylvania, 2009
    • U.S. District Court District of New Jersey, 2009
    • Obtained a defense verdict in a jury trial stemming from a rear-end motor vehicle accident.
    • Obtained a defense verdict in a jury trial stemming from a premises liability case involving issues of municipal liability.
    • Obtained a defense verdict in a jury trial stemming from a chain reaction motor vehicle accident.
    • Obtained a defense verdict at an arbitration stemming from a tractor-trailer accident.
    • Obtained a defense verdict at an arbitration stemming from a motor vehicle versus bicycle accident.
    • Assisted with securing the dismissal of a client in a claim involving negligent entrustment.
    • Assisted with securing summary judgment in a breach of contract claim.
    • The Best Lawyers in America©, Litigation – Insurance (2024-2026)
    • Lackawanna County Bar Association
    • New Jersey Bar Association
    • Pennsylvania Bar Association
    • Boardable and Recoverable Economic Damages, CLE seminar, 2018
    • Punitive Damages in Trucking Litigation, CLE seminar, 2015
    • The Social Media Age and Your Auto Claim, Client Seminar, 2014

Thought Leadership

Defense Digest

Who May Be Liable Under the Dram Shop Act?

December 1, 2023

Key Points:  Pennsylvania’s Dram Shop Act does not merely apply to “any person” but, rather, imposes an obligation on particular persons and entities.  To establish a basis for Dram Shop liability, it must be shown that the defendant “is either a licensee, or stepped into the shoes of a licensee.”  The absence of “profit or other indicia of commercial sale of liquor” renders the Dram Shop Act inapplicable. Under your argument, you’re saying if I have a party and I overserve people, you’re OK with me not being liable. But if I say, ‘Folks, try to contribute 5 to 10 bucks because I spent a lot of money to put this party on,’ under your theory, I’m liable?” - Justice David Wecht   In Klar v. Dairy Farmers of America, 300 A.3d 361 (Pa. 2023), the Pennsylvania Supreme Court revisited the extent to which an event host may be held liable for the actions of an intoxicated guest.  Klar involved a golf outing sponsored by Dairy Farmers of America for its employees that required employees to provide a monetary contribution to help defray the costs of green fees, food, and alcohol associated with the event. During the event, Roger Williams, an employee of Dairy Farmers, became intoxicated and was subsequently involved in a motor vehicle accident with David Klar. While Klar sought to impose liability under theories of common law negligence and violation of Pennsylvania’s Dram Shop Act, the Pennsylvania Supreme Court refused to extend the scope of the Dram Shop Act to include an organization, such as Dairy Farmers of America, that hosts an event at which alcohol is provided but is not a liquor licensee. With regards to his Dram Shop claim, Klar argued that Dairy Farmers of America fell into the “any other person” category of the Dram Shop Act, and by collecting money from its employees to purchase alcohol for the event, Dairy Farmers received consideration and then sold alcohol to a visibly intoxicated person. The Supreme Court, however, declined to extend the scope of the Dram Shop Act to this scenario, explaining that the Act’s applicability to “any other person” does not mean that every individual in this Commonwealth is exposed to Dram Shop liability. Rather, the meaning of “any other person” is cabined by its context and simply refers to persons whose actions place them into the same category as the preceding entities, i.e., those who engage in the commercial or quasi-commercial sale of alcohol for profit. In other words, in the context of the Dram Shop Act, “any other person” is one who, notwithstanding their lack of a license, engages in the business of selling alcohol. While the court explained that an individual or organization could potentially assume “licensee status,” thus triggering liability pursuant to the Act, such was not the case here, where the factual averments in Klar’s complaint were insufficient to establish that Dairy Farmers received any sort of “remuneration” to implicate liability. The court noted that Klar did not allege that Dairy Farmers collected funds from its employees to profit from the sale of alcohol; rather, the allegations that Dairy Farmers asked for a monetary contribution to offset event costs dispelled any suggestion that it organized the event to sell alcohol for financial gain.  As explained by the court, the mere pooling of money for a collective purchase of alcohol for shared consumption, absent any indicia of commercial sale or profit-seeking, does not implicate the Dram Shop Act. The court reasoned that, under Klar’s interpretation of “any other person” in the context of the Dram Shop Act, liability could be imposed upon a group of friends who pitch in money to (legally) purchase a bottle of liquor or a case of beer for their shared consumption. This interpretation is inconsistent with the long line of Pennsylvania cases which have held that only licensees are civilly liable for violations of the Dram Shop Act.  While Klar also raised a common law negligence theory of liability, the Supreme Court held that the plaintiff’s argument was foreclosed by well-established precedent refusing to extend common law liability to social hosts, which it found no reason to disturb. Pennsylvania courts continue to uphold the longstanding precedent that there is no social host liability at common law since competent adults are responsible for their own actions. In other words, it is the consumption of alcohol, not the furnishing of it by a social host, which is the proximate cause of any subsequent occurrence. Indeed, the very reason for the enactment of dram shop laws is the fact that, under the common law of torts, liability could not be imposed upon one who provided another with alcohol. Such statutes were an effort to supersede the common law; to provide an avenue for imposing liability upon the purveyors of alcohol where the common law did not.  It is worth noting that Klar’s claims against Dairy Farmers were dismissed at the pleadings stage. While the Supreme Court declined to extend the scope of the Dram Shop Act in this case, it has provided plaintiffs with a roadmap for drafting complaints in such a way as to set forth sufficient factual averments, which, at the very least, may permit a Dram Shop Act violation in a similar scenario to proceed beyond the pleadings stage.  *Sarah is a shareholder in our Scranton, Pennsylvania, office. She can be reached at 570.496.4654 or SEArgo@mdwcg.com.   Defense Digest, Vol. 29, No. 4, December 2023, is prepared by Marshall Dennehey to provide information on recent legal developments of interest to our readers. This publication is not intended to provide legal advice for a specific situation or to create an attorney-client relationship. ATTORNEY ADVERTISING pursuant to New York RPC 7.1. © 2023 Marshall Dennehey. All Rights Reserved. This article may not be reprinted without the express written permission of our firm. For reprints, contact tamontemuro@mdwcg.com.

Firm Highlights

Result

No-Cause Jury Verdict Secured in Wrongful Death Trial

We successfully obtained a no-cause jury verdict in a 13-day wrongful death trial. The decedent, a 59-year-old man, was admitted to the emergency room on February 15, 2019, with complaints of abdominal pain, decreased appetite, and constipation, despite the use of laxatives. The patient did not complain of any nausea, vomiting, or diarrhea. He had a significant medical history including diabetes, hypertension, prior coronary artery stenting, morbid obesity (with past gastric bypass surgery), longstanding ventral hernia, and back pain. A CT scan revealed multiple hernias and a potential closed-loop bowel obstruction, leading to a surgery consultation. Our client, an emergency general surgeon, interpreted that the patient did not have a closed loop or any significant obstruction and recommended non-surgical management. The patient was approved to have clear liquids, and had a vomiting incident shortly after, but our client was not notified. The patient was returned to NPO status, and after improving overnight, he was returned to “clears” and additional medical and renal consults were ordered. Our client did not receive any communications from the residents/nurses of any changes in the patient’s condition. On February 18, 2019, two rapid responses were called due to increased heart rate and vomiting. It is believed that the vomiting resulted in aspiration, causing sepsis, ultimately leading to the patient’s death. During the trial, the plaintiff’s sole medical expert highlighted imaging on the wrong hernia, which called into question all of his opinions in the case. We made key objections related to the expert testimony, limiting what the allegations were, and preventing new allegations from being made. After approximately two and a half hours of deliberating, the jury returned a no-cause verdict. 

Thought Leadership

Mitigating Long-Tail Liability: Delaware Court Reaffirms Five-Year Workers’ Compensation Deadline

Williamson v. Donald F. Deaven, Inc., No. N25A-07-004 FWW, 2026 LX 252526 (Del. Super. Ct. June 2, 2026) Claimant was involved in a compensable industrial work accident on May 12, 1995, for a low back injury.  Following this, he received compensation for temporary total disability benefits from July 1996 to September 1996 and for sustaining a permanent impairment in 1997 and 1998. For the next 23 years, the claimant continued treatment and paid his own medical bills without submitting them to the employer’s insurer. In November 2021, the claimant filed a petition seeking payment for medical expenses, including prospective surgery and a resulting period of total disability. The employer moved to dismiss the petition, arguing it was barred by Delaware’s five-year statute of limitations (19 Del. C. § 2361(b)). Pursuant to 18 Del. C. § 3914, insurers must provide prompt written notice of the applicable statute of limitations to invoke the five-year deadline. Due to the age of the case, neither party had a comprehensive file of the claim and the Board had archived its file of the matter. The carrier’s computer system retained only bare information indicating that payments occurred and agreements and receipts were filed with the Board in 1997. While the claimant argued that the employer could not prove it provided the mandatory statutory notice, the Hearing Officer recovered the archived file, which contained two “Receipts for Compensation Paid” signed by the claimant. The receipts explicitly contained the required five-year limitation language, which the claimant testified to signing at the hearing. The claimant also attempted to introduce evidence of payments he claimed the employer made, which would have extended the statute of limitations. As a preliminary matter, the hearing officer excluded the testimony about the payments because the claimant did not produce them to the employer. The Board found in favor of the employer and dismissed the claimant’s petition as time-barred. The claimant appealed the Board’s decision, arguing that he never received adequate notice of the statute of limitations and that the hearing officer’s evidentiary ruling was an abuse of discretion. The Court held that the archived, signed receipts constituted substantial evidence that the insurer fulfilled its statutory notice requirements. Therefore, the claimant’s petition was time-barred under the statute of limitations provisions of 19 Del. C. § 2361(b). Furthermore, the Court reinforced strict procedural compliance: it rejected the claimant’s attempts to introduce evidence of payment on appeal, ruling the argument was waived for failure to preserve it while the matter was still before the Board. This recent ruling by the Court underscores the importance and necessity of robust data preservation and precise compliance with notice requirements. For risk managers, employers, and insurers, the decision highlights how tight administrative execution protects against catastrophic long-tail liability.

Thought Leadership

Congress Passes Financial Exploitation Prevention Act

On June 25, 2026, the House passed the Financial Exploitation Prevention Act of 2025 (“the Act”) by a vote of 414 to 2. The Act allows financial advisors and firms to delay suspicious transactions regarding the accounts of clients who are 65 or older, if they believe financial exploitation has occurred or is about to take place. With the advancement of technology and AI, the House’s overwhelming bipartisan passage of the Financial Exploitation Prevention Act represents an important step in strengthening the financial industry’s ability to combat the growing threat of elder financial exploitation. The Act recognizes what advisors have long known that financial professionals are often the first to detect suspicious behavior but have historically lacked clear legal authority to intervene before irreversible financial harm occurs. From the industry’s perspective, the bill accomplishes several important objectives, including the following: (1) Provides a practical “pause button” by allowing financial professionals to temporarily delay certain transaction requests when there is a reasonable belief that a senior or vulnerable adult is being financially exploited; (2) Empowers financial professionals to act by providing greater certainty that firms can act in good faith to protect clients without unnecessary legal risk; and (3) Strengthens investor protection without sacrificing client rights by allowing temporary delays based on a reasonable suspicion of exploitation, which is intended only to allow additional review and not to deny clients access to their money indefinitely. In sum, the Financial Exploitation Prevention Act will equip financial professionals with practical, carefully tailored tools to stop suspected financial exploitation before client assets are lost. By allowing firms to temporarily delay suspicious transactions under defined circumstances, Congress is recognizing the critical role advisors play as the first line of defense against increasingly sophisticated fraud schemes. The Act strikes an appropriate balance between protecting vulnerable investors and preserving individual financial autonomy, while reinforcing collaboration among advisors, families, and law enforcement to combat financial exploitation. The bill now awaits Senate action.

Thought Leadership

New Jersey Expands Family Leave Protections Effective July 17, 2026

On January 17, 2026, Governor Murphy signed into law legislation expanding the New Jersey Family Leave Act (NJFLA). Beginning July 17, 2026, significant amendments to the NJFLA will expand job-protected family leave to smaller businesses and more employees across the state. The new law broadens coverage by lowering the threshold for private employers from 30 employees to 15 employees, meaning many smaller businesses will now be subject to the NJFLA. Employees of state and local government agencies will continue to be covered regardless of the size of the employer. The amendments also make it easier for employees to qualify for leave. Under the revised law, an employee will be eligible after three months of employment and at least 250 hours worked during the preceding 12 months, replacing the previous requirement of 12 months of employment and 1,000 hours worked. Currently, New Jersey's Temporary Disability Insurance (TDI) and Family Leave Insurance (FLI) programs provide eligible employees with wage replacement while they are on leave but do not independently guarantee job protection. The recent amendments to the New Jersey Family Leave Act (NJFLA) expand these protections by extending job-protected leave to additional employees. Under the amended law, employees receiving TDI or FLI benefits may be entitled to return to the same position they held before taking leave, or to an equivalent position with the same seniority, status, pay, and benefits. Although the legislation also states that it does not expand or modify an employee's reinstatement rights under the NJFLA, the amendments appear to provide job protection to eligible employees receiving TDI or FLI benefits without requiring them to separately satisfy the eligibility requirements of the NJFLA or the federal Family and Medical Leave Act (FMLA). As a result, some employees may be entitled to longer periods of job-protected leave than were previously available under existing law. With these amendments, New Jersey continues to strengthen workplace protections by expanding access to job-protected family leave for eligible employees. These changes significantly expand access to job-protected family leave and may require employers to update their leave policies, employee handbooks, and HR practices. Notably, employers who were previously not required to administer NJFLA may need to amend their policies and/or create new protocols to come into compliance with the NJFLA. Failure to do so would prove costly, as the penalties for non-compliance are significant.