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.

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