Colorado Non-Compete Statute (C.R.S. § 8-2-113) & Overbroad NDA Redline Auditor
Colorado’s restrictive covenant statute (C.R.S. § 8-2-113) imposes a $5,000 per-worker statutory penalty plus attorney fees on employers who even *present* an unlawful non-compete! Under C.R.S. § 8-2-113, non-competes are void unless you earn at or above the Colorado "Highly Compensated Worker" threshold (~$123,750+, adjusted annually) AND the employer delivers a separate, standalone signed statutory notice before you accept the offer. Even more importantly, § 8-2-113(2)(b) voids Confidentiality/NDA clauses that prohibit using "general training, knowledge, skill, or experience" gained on the job!
Departing Physician Forced to Pay $54,000 Out-of-Pocket for Claims-Made Tail Insurance After Hospital Restructuring
A physician’s employment agreement and group Claims-Made malpractice binder required the doctor to purchase unlimited Extended Reporting Period (ERP / Tail) coverage upon termination for any reason, priced at 225% of expiring premium with Defense Inside the Limits.
EndorseIQ™ caps ERP Tail rates at 150% of expiring premium, shifts Tail cost to the employer on termination without cause, and places Defense Costs Outside the Limits.
Check Your Full Contract PDF for Cross-Section Overrides (Free 60s Scan)
Fixing one clause alone often fails when a buried definition, exhibit, or survival clause elsewhere in your Medical & Professional Malpractice neutralizes your protection. Drop your PDF or Word (.docx) below for an instant, 100% anonymous cross-section audit.
“Colorado C.R.S. § 8-2-113 Statutory Compliance: (a) Pursuant to C.R.S. § 8-2-113(2)(b), "Confidential Information" strictly excludes information that arises from Employee’s general training, knowledge, skill, or experience, whether gained on the job or otherwise; (b) any non-compete or customer non-solicitation is void unless Employee’s compensation meets the statutory
What to Say to the Malpractice Carrier & Employer / Hospital Group
"Under Colorado C.R.S. § 8-2-113(2)(b) and (6), our agreement must be governed by Colorado law and explicitly carve out general training, knowledge, skill, and experience gained on the job from the Confidentiality definition."
Why they drafted it this way: Employers try to bypass Colorado’s non-compete ban by writing an ultra-broad Confidentiality/NDA clause that treats your general industry know-how as a "trade secret."
Mandatory Audit Checklist Points
- Enforce C.R.S. § 8-2-113(2)(b): Carve out general training, knowledge, skill, and experience from the NDA/Confidentiality clause
- Enforce C.R.S. § 8-2-113(4): Any non-compete or customer non-solicit is void unless accompanied by a separate, standalone written notice before offer acceptance
- Enforce C.R.S. § 8-2-113(6): Require Colorado law and Colorado venue for any employee residing or working in Colorado
Paste Your Colorado CRS 8-2-113 non-compete confidentiality redline Section or Upload Your Full Medical & Professional Malpractice (.pdf / .docx)
Check if your draft has a hidden loophole or cross-section override. Click ⚡ Preview Sample Audit (Instant) to see a live demo in 0.2s, or upload your own PDF / Word (.docx) contract below:
EndorseIQ™ Policy & Binder Scanner
ACTIVE ENGINE: ENDORSEIQ™ (MULTI-HOP ISO & COVERAGE GRAPH)Frequently Asked Questions
Why are so many Colorado non-compete agreements automatically void under C.R.S. § 8-2-113(4)?
Because C.R.S. § 8-2-113(4) requires the employer to provide a *separate written notice* (in a standalone document, not just buried inside the offer letter) identifying the exact paragraph of the non-compete before the prospective worker accepts the offer of employment. If the employer forgets that separate notice, the non-compete is 100% void!
How do I redline Colorado CRS 8-2-113 non-compete confidentiality redline traps in my Medical & Professional Malpractice anonymously without creating an account?
Upload your Medical & Professional Malpractice PDF or Word (.docx) draft to ExclusionRadar.com to run the "Colorado Non-Compete Statute (C.R.S. § 8-2-113) & Overbroad NDA Redline Auditor" defense cartridge 100% anonymously—with zero account registration, zero email login, and stateless in-memory processing. EndorseIQ™ flags Colorado CRS 8-2-113 non-compete confidentiality redline exposure (typically $5,000 statutory penalty per violation + full career & skill mobility; documented unredlined loss: $54,000 in 225% uncapped ERP Tail premium & forfeiture), checks for cross-section overrides, and exports a ready-to-send Microsoft Word (.docx) Track-Changes file.
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