Continued At-Will Employment Does Not Constitute Consideration for Noncompete Agreements in Colorado


After years of uncertainty as to whether continued at-will employment constitutes consideration to support a noncompete agreement, the Colorado Court of Appeals squarely addressed the issue in Lucht's Concrete Pumping, Inc. v. Horner (No. 08CA0936, June 11, 2009). The appellate court clarified that continued at-will employment, without more, is insufficient consideration in return for a promise not to compete. The Lucht's Concrete Pumping panel further held that the duty of loyalty owed by an employee to his employer is only a fiduciary one when the employee is deemed an agent of the employer.

Please see full ASAP for more information.

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Published In: General Business Updates, Labor & Employment Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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