Colorado Non-Compete Agreement Template
Reviewed by the Agiled editorial teamUpdated June 2026
Non-compete law is the most state-divergent area in employment contracting — four states ban these agreements outright, a dozen more impose salary floors or notice rules, and the rest apply judge-made reasonableness tests that differ in temperament. This page covers what Colorado requires; the download is our standard non-compete template, to be scoped to Colorado's rules below.
Colorado non-compete rules at a glance
| Enforceability | Void except for highly compensated workers with a trade-secret justification (C.R.S. §8-2-113). |
|---|---|
| Protected workers / thresholds | Only workers earning ≥ ≈$127,000 (indexed annually); customer non-solicits at 60% of that threshold |
| Required formalities | Separate written notice 14 days before employment starts or before the consideration is given |
| Overbroad agreements | Void if requirements unmet; criminal liability possible for coercive enforcement |
State laws change frequently and this summary is not legal advice. Verify current rules against the state statute or with a licensed attorney before relying on them.
How Colorado handles non-compete agreements
Colorado is the only state where pressuring someone with a void non-compete can be a criminal matter — and its 14-day standalone notice requirement voids agreements over a pure paperwork failure. The practical drafting rule for Colorado: void except for highly compensated workers with a trade-secret justification (C.R.S. §8-2-113).. Before using this template, confirm the current statute — non-compete law has changed in more than a dozen states since 2020, and the FTC's federal ban attempt keeps the area moving.
Colorado non-compete agreement FAQs
Are non-compete agreements enforceable in Colorado?
Void except for highly compensated workers with a trade-secret justification (C.R.S. §8-2-113). Coverage limits matter here: only workers earning ≥ ≈$127,000 (indexed annually); customer non-solicits at 60% of that threshold.
What happens to an overbroad non-compete in Colorado?
Void if requirements unmet; criminal liability possible for coercive enforcement Draft to the narrowest restriction that protects the actual business interest — the safety net (or lack of one) above is what you're betting on.
What formalities does a Colorado non-compete require?
Separate written notice 14 days before employment starts or before the consideration is given Procedural failures are now the most common way non-competes die — more common than substantive overbreadth in states with notice rules.
Does the FTC non-compete ban apply in Colorado?
The FTC's 2024 rule banning most non-competes was set aside by a federal court before taking effect and remains in litigation, so it is not currently in force in Colorado or any state. State law controls — which is why the state-specific rules above are the ones to draft around.
The full non-compete agreement guide
Clause-by-clause guidance, common mistakes, and the complete template text live on the main page: Non-Compete Agreement Template — full guide and download.