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Non-Compete Laws in Colorado

Colorado voids most non-competes, allowing them only for highly compensated workers (threshold $130,014 for 2026) to protect trade secrets, and only if the employer gives separate signed notice in advance.

Last checked . General information, not legal advice.

Colorado at a glance

Status
Restricted: highly compensated workers only
Allowed only to protect trade secrets and no broader than reasonably necessary; customer non-solicits need 60% of the threshold.
Enforceable against employees
Only with conditions
Pay must meet the threshold both when signed and when enforced.
Salary threshold
$130,014 (2026)
Set yearly by the state labor division; 2026 PAY CALC Order figure for highly compensated employees, effective February 1, 2026.
Advance notice required
Yes, separate signed notice
Before a job offer is accepted, or 14 days before the covenant takes effect for current workers.

Sources

Last checked

The rules in Colorado

Are employee non-compete agreements banned, restricted or enforceable in Colorado?

Status in Colorado: Restricted: highly compensated workers only. Allowed only to protect trade secrets and no broader than reasonably necessary; customer non-solicits need 60% of the threshold.

Can an employer enforce a non-compete against an employee in Colorado?

Only with conditions. Enforceable against employees in Colorado: only with conditions. Pay must meet the threshold both when signed and when enforced.

Is there a minimum salary for a non-compete to be enforceable in Colorado?

Salary threshold in Colorado: $130,014 (2026). Set yearly by the state labor division; 2026 PAY CALC Order figure for highly compensated employees, effective February 1, 2026.

Does Colorado require employers to give advance notice of a non-compete?

Yes, separate signed notice. Advance notice required in Colorado: yes, separate signed notice. Before a job offer is accepted, or 14 days before the covenant takes effect for current workers.

Where do the Colorado non-compete laws come from?

The rules above come from C.R.S. 8-2-113 and 7 CCR 1103-14. Each source is linked on this page. We last checked them in October 2026.

Good to know

Under SB 25-083, for covenants entered into or renewed on or after its 2025 effective date, the highly compensated exception no longer applies to non-competes or customer non-solicits that restrict the practice of medicine, advanced practice registered nursing or dentistry.

Non-competes between physicians are void under C.R.S. 8-2-113(5), apart from damages provisions.

What this means in practice

Read the restriction closely before signing. Note how long it lasts, the area it covers, which activities it bars and which state's law the contract says applies. A choice-of-law clause does not always control, because some states refuse to apply another state's law to their own residents or workers.

Salary thresholds are often adjusted every year for inflation. If a state uses a threshold, check the figure for the year the agreement was signed or is being enforced, and how the statute defines earnings.

A non-compete is different from a non-solicitation or confidentiality agreement. Many states that limit non-competes still allow narrower clauses that protect trade secrets or customer lists. An employment lawyer can explain how the rules apply to a specific agreement.

General information, not legal advice. Laws change, and cities can add their own rules, so check the current statute before you rely on it.