After August 10, 2022, Colorado employers have a more limited range of options to negotiate Non-Compete Agreements with workers or prospective workers. In addition, the new legislation requires employers to provide additional notice. Failure to comply with these new requirements renders an agreement void and unenforceable. The revised statute, HB 22-1317 was signed into law by Governor Polis on June 8, 2022, and includes criminal and civil penalties, along with provisions allowing employees to recover damages, attorneys’ fees, and costs. These new statutory requirements (C.R.S. § 8-2-113 (2022)) are prospective only and do not apply to non-compete, non-solicitation, or confidentiality agreements properly entered into prior to August 10, 2022.
Read the entire article here: Colorado’s Recent Restrictions on Non-Compete, Non-Solicitation, and Confidentiality Agreements