Colorado statutory law has traditionally limited enforcement of restrictive covenants. C.R.S. § 8-2-113, entitled “Unlawful to intimidate worker – agreement not to compete,” provides that all contractual restrictions on a person’s post-employment competitive activity are “void” unless they fit into one of four categories: (1) contracts for the purchase and sale of a business or the assets of a business; (2) contracts for the protection of trade secrets; (3) contracts providing for recovery of expenses of educating and training an employee who have served an employer less than two years; and (4) agreements with executives, management personnel, and their professional staff. This statute applies not only to non-compete agreements, but also to agreements not to solicit customers or employees. Most companies trying to defend their restrictive covenants do so under the exception to protect trade secrets or the exception for executives/managers/professional staff.
Regarding qualifying as an executive or manager, early case law limited the exception to only those personnel who could be said to be a “key man and very heart of the business.” “Professional staff” was also limited to the learned professions such as engineering, science and medical practice. More recent case law has broadened application of the exception somewhat, although it remains a question of fact for the court. An individual with significant responsibility and supervisory capacity over others, or a mid-level...
A Delaware County doctor has agreed to pay more than $1.6 million back after admitting to filing more than 27,000 fraudulent Medicaid claims. Dr. Patrick Muffley, 56, of Lewis Center, pleaded guilt...