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Non-Compete Agreement Advice. Colorado

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  • Non-Compete Agreement Advice. Colorado

    I have been working as an internet marketing specialist in a company here in Denver, CO. They really like me and they keep saying that I do a great job. I like the company and the people here, but salary wise, I am earning entry level. Although I have been in the industry for almost 7 years, they took me in on entry level because this is my first job here in the US (originally from Argentina). Two employees who have left even told them they need to pay me more, and that I am the most underpaid person in the company. I also don't have any benefits.

    I got an offer from another company, also in Denver and the pay is significantly higher, and closer to the salary range a person with my skills and experience is paid. When I brought this up with the management, they said they will try to offer me more compensation, a little closer to what I am offered, but still no benefits. One of the executives pointed out that I have signed a non-compete agreement and they are willing to take this to court should I still decide to go with the other company.

    I have been told by some people that this non-compete agreement does not hold up in court given the industry I am in. I just want clarification on this and if I can tell my current company, "Go ahead, make my day.".

  • #2
    Short answer is that you need to take the agreement to a local attorney who will actually have to read it.

    Longer answer, is that like all contracts, this is very state specific and very specific to the exact wording of the agreement. Some NCAs are legal and some are not. Anyone who says that an NCA that they have not actually read is not valid does not know what they are talking about.

    Just to be clear, there is something else called a Non-Disclosure Agreement and those are vastly more likely to be held enforcable then a NCA is. NCAs which are very broad in scope/duration tend to be invalid. Those NCA more narrowly written are more likely to be valid.
    "Reality is that which, when you stop believing in it, doesn't go away".
    Philip K. **** (1928-1982)

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    • #3
      This is what Colorado says:

      Noncompete agreements and convenants not to solicit customers that restrict "the right of any person to receive compensation for performance of skilled or unskilled labor for any employer" are void except in limited circumstances.

      Employee non-solicitation agreements are not void under Colorado law; however, such agreements may only prohibit a former employee from initiating contact with current employees to work for a competitor, not from hiring a current employee who was not approached by former employee.

      (per court cases)

      Agree with DAW that you need to take the agreement to a local employment or contract attorney for review & advice.
      Too often we underestimate the power of a touch, a smile, a kind word, a listening ear, an honest compliment, or the smallest act of caring, all of which have the potential to turn a life around. Leo Buscaglia

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