Yep- losing faith in humanity one dumbass at a time.

I'm with Annie... and, like everyone else said, I would hope that I'd raised my kids better than that.

Depends. Are these alleged "kids" over or under 18?

If <18 then I would do both #s 1 & 3.

If >18 then # 2- they're on their own by that point and need to be responsible for their own actions. If I was stupid enough let them drive my car, then that's on me.

Exactly what my mom would have done - called the police.  I would never have put her in that position, knowing full well that she'd be liable for me if I did anything stupid.  She did warn me though if I ever did jump in her car and get in a wreck or drive drunk she'd call the police ... I knew never to cross her.

Tough love, tough love. 

4) kick their ass, take their car, ground them. show then drunk driving videos for days.

i hope i raised a better kid than that though

I agree with gbriano. I can tell you this: They would never drive MY car again. And I don't care how old they are, they wouldn't be able to sit down for a month.

Well, there's a lot of factors out there but most likely "3". If they were my son or daughter they'd know well ahead of time that that would be my reaction.