What is a Colorado Employment Contract?
A Colorado employment contract is a legally binding agreement executed by an employer and a new employee. The contract lays out the rights and obligations of each party throughout the employment relationship.
It is common to find the following issues negotiated in an employment contract:
- Employee’s income
- Payment schedule
- Employee’s job title and list of duties
- Employee benefits
- Employment start date
- Duration of employment
- Procedures for discipline and grievances
- Causes for termination
Colorado is an “at will” employment state so without a valid employment contract, employers and employees are free to end the working relationship at any time for any reason. This means that an employer can terminate an employee without any reason or cause.
The only two exception to this rule are the public policy exception and the implied contract exception which are both recognized in Colorado.
Public policy exception. Prevents an employer from firing an employee if the termination involves an employee’s compliance with state laws like refusing to commit a crime.
Implied contract exception. Prevents an employer from firing an employee when an implied contact exists. This can be an oral suggestion of job security or a section in the employee handbook that outlines termination policies.
Are Employment Contracts Enforceable in Colorado?
For the most part, employment contracts are enforceable in Colorado and the contracts can either written or oral agreements. The contracts cannot violate state laws or public policy.
There are parts of an employment agreement that will not be enforced in Colorado. In August of 2022, Colorado passed a bill that severely limited the enforcement of non-compete, non-solicitation, and other restrictive employment agreements.
The new bill made the following changes to Colorado employment law:
- All non-compete agreements will be void unless they are entered into with a “highly compensated” worker. The 2022 threshold for “highly compensated” is $101,250.
- Void all non-compete agreements not designed to protect trade secrets
- Void all non-compete agreements that are more broad than necessary to protect an employer’s interests
- Void all non-solicitation agreements that are entered into with an employee making less than 60% of the salary of a “highly compensated” worker
- Require all non-compete disputes to be adjudicated in Colorado courts under Colorado laws.
What Are the Legal Requirements for Colorado Employment Contracts?
The legal requirements for a Colorado employment contract are governed by Title 8 of Colorado Revised Statutes and Colorado contract laws. The contract should contain an offer, acceptance, and consideration.
The following information should also be included in a Colorado employment contract:
- Name and address of the employer
- Name and address of the employee
- Job title and description
- Salary
- Benefits
- Company rules
- Disciplinary procedures
- Working hours
- Causes for termination
Additional clauses can and should be added to ensure that both parties know and understand their obligations in the working relationship. Employment contracts can cover most employment related issues as long as the terms do not break the law or violate public policy
Types of Colorado Employment Contracts
There are several types of employment contracts based on the type of employee a company hires and the scope of work to be completed. The three most common types of employment contracts are permanent, fixed term, and consultant agreements.
- Permanent employment contract. This contract is used by a company to hire a permanent employee with regular hours and an hourly wage or salary.
- Fixed term employment contract. Used when hiring employees who will only work for a specific period of time or to complete a specific job. This is common contract for seasonal workers or when hiring additional workers for a large project.
- Consultant agreement or freelance contract. Consultants, independent contractors, and freelancers may work for a company; however they are not considered employees. The employee contract for this type of work needs to lay out the specific roles of each party in the business relationship.
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Meet some of our Colorado Employment Contract Lawyers
David D.
Experienced in-house attorney with focus on acquisitions, divestitures, general corporate matters and litigation support.
August 3, 2023
Shane S.
I have 13+ years of experience as a real estate, construction, and general transactional lawyer focused on drafting and negotiating commercial leases, purchase and sale agreements, contractor and design professional agreements, etc.
August 17, 2023
Cory L.
NA
August 16, 2023
Ashley M.
Trial attorney. Specializing in drafting and arguing complex criminal pretrial and contemporaneous motions. Former Public Defender. Cum Laude graduate of the University of Miami School of Law. Research assistant for multiple professors in the areas of Title IX defense, post-conviction litigation, reproductive healthcare rights, and the constitutionality of affirmative defenses. Trial Team Captain, Pro-Bono Challenge award recipient, Litigation Skills Book Award and Scholarship recipient, HOPE Public Interest Scholarship recipient. Cum Laude graduate of New York University with a focus on classical theatre text and performance.
August 26, 2023
Ryan C.
Ryan Clement, the Principal Attorney at Business and Technology Legal Group (www.businessandtechlawyers.com), has been a Colorado licensed attorney for almost 20 years and has extensive experience in all matters related to corporate law, software and technology law, intellectual property, data privacy and security, business startups/formation, commercial transactional matters, general business counsel, compliance, and litigation. Ryan graduated with high honors from the University of California, Santa Barbara before attending the University of California, Davis School of Law and graduating in 2004. Post-law school, he completed an esteemed two-year judicial clerkship at the Second Judicial District Court of Nevada. In 2007, Ryan Clement became a licensed attorney in private practice, working at several prestigious law firms before forming and operating his own successful law firm in 2012 at the age of only 31. This keen business acumen and entrepreneurial drive was the impetus behind Ryan’s desire to practice business and technology law, ultimately forming the foundation of Business and Technology Legal Group. In addition to his top-tier legal credentials, Ryan also holds a Master of Business Administration (MBA) degree from the University of Colorado, Denver, and has over a decade of experience working in the software industry at Fortune 500 and publicly traded companies. This vast experience in the technology and software sector, combined with his many years as an attorney provides the intersection of legal, technical, and business skill sets that sets Ryan apart from the crowd of business and technology attorneys in the market.
September 11, 2023
Torrey L.
Torrey Livenick, Esq. is a fourth generation Colorado lawyer. Although she was born in California and raised in Nevada, she spent every summer in Colorado and knew she planned to make Denver her home. After graduating from Bryn Mawr College with a degree in Classical Culture and Society, she returned to Las Vegas to work as a paralegal. Once she spent five years building her skills and confirming her interest, she attended Emory University School of Law. Torrey’s interests include trivia (she even was a contestant on Jeopardy! during her law school days), video games, playing with her cats, and the arts. She is active in pro bono organizations including Metro Volunteer Lawyers.
November 5, 2023
Darren W.
My main focus is estate planning and business transactions, but I have had many practice areas throughout my career, including criminal defense and prosecution, civil litigation from neighborhood squabbles to corporate contentions. I have also worked in bankruptcy, family law, collections, employment law, and personal injury. I stand ready to assist in any area to which I feel I can be of service, but will not try to fake it if I do not know the area of law I am being asked to serve in.
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Employment Contract
Texas
What's the termination clause in an employment contract?
I recently accepted a position at a company and they have given me an employment contract to review. I have been reading through the contract and noticed a section regarding termination. However, I am not sure what the termination clause in the contract states and I am hoping to get some clarification from a lawyer. I want to make sure that I understand my rights and obligations before signing the contract.
Curt L.
Most employment contracts contain (1) termination for cause, and/or (2) termination without cause (also known as at-will employment relationship).
Estate Planning
Employment Contract
Florida
What's vacation time in an employment contract?
I recently accepted a new job and I was provided an employment contract to review. In the contract, there is a section about vacation time, but it is not very clear. I'm trying to understand what vacation time is included in the contract and what the expectations are for taking time off. I want to make sure I have a clear understanding of my rights and responsibilities regarding vacation time before I sign the contract.
Diane D.
You can create your own will. However, having an attorney draft it for you will ensure that your wishes are carried out in all circumstances. Doing it yourself without having any experience may cause many problems after your demise.
Employment
Employment Contract
North Carolina
What's termination notice in an employment contract?
I recently accepted a job offer with a new company and I was given an employment contract to sign. I was looking through the contract and noticed that it mentions something about a termination notice. I'm not sure what this means or how it applies to my employment, so I wanted to ask a lawyer to get a better understanding of this clause.
Ryan D.
A termination notice is a provision in an employment contract that specifies the amount of notice an employer must give an employee if they wish to terminate the contract, or vice versa if the employee wishes to leave. This is an important clause, as it offers some level of job security for the employee and some level of predictability for the employer. In most states, including North Carolina, employment is considered "at-will" unless there is a contract in place that states otherwise. This means that either the employer or the employee may terminate the employment relationship at any time, for any reason, or for no reason at all, as long as the reason isn't illegal (like discrimination). If your contract includes a termination notice clause, this "at-will" status is likely modified to some extent. The specific details would depend on the exact wording in your contract. It could require either party to provide a notice (often 2 weeks, 1 month, or sometimes longer) before terminating the contract. That notice period is intended to give the other party time to adjust plans accordingly. For the employee, it might mean finding a new job; for the employer, it might mean finding a replacement.
Employment
Employment Contract
New York
What should be included in my employment contract?
I am a small business owner looking to hire an employee for the first time. I have never written an employment contract before, so I am unsure of what should be included in the contract to ensure that it is legally binding and protects both the employee and me. I am looking for advice on what should be included in the contract to ensure that my interests and those of my employee are adequately protected.
Donya G.
Hello, Congratulations on your business. Here are some things that need to be in the agreement - amount you will pay them, when you will pay, the term of the employment, confidentiality, non solicit. Since you have never done this before, I would like to suggest that you hire an attorney to get it done to ensure it is done correctly. I am a NY attorney with over 20 years of experience. I assist small businesses like yours with their employment, vendor, investment and all their contract needs. I would love to assist you. You can contact me on the Contracts Counsel website or on my personal page - Donya Gordon Looking forward to talking to and working with you Sincerely Donya Gordon
Contracts
Employment Contract
Ohio
What's personal leave in an employment contract?
I have recently been offered a job, and the employment contract I have been provided with states that I am entitled to personal leave. I am not sure what this is, or what it entitles me to. I would like to know what rights and responsibilities I have regarding personal leave, and what the employer's expectations are of me with regards to this leave.
Jeffrey K.
Personal leave sometimes replaces vacation and sick time. Some employers just give employees time off for whatever reason the employee chooses. To know more about the rights and responsibilities, you should speak to HR at your new employer who will help you with the employer's expectations and your rights under the leave provision in your contract. Also, look at your contract as it may provide insight as to how to implement the leave. When in doubt, speak to HR. Thanks.
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Location: Illinois
Turnaround: A week
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Doc Type: Employment Contract
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Bid Range: $240 - $550
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