They do if they value their liquor license. Too many DUIs originating from your bar=liquor control board showing up and asking uncomfortable questions about your business practices.
"VOTE SHEMOCRACY! You will only have to do it once!" -Loyalty Officer Aresen
Being cut off is a set of bar specific norms I think based on conversations with a friend who owns my local watering hole. There are factors like how young your crowd is, how surly they are, etc. Sometimes its "we know how that person gets after X drinks". The call is usually pretty obvious. It only gets contentious with management if it's a regular who comes in with a regular crowd - you have to cut off with white gloves in those situations.
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