WRONGFUL TERMINATION DEMAND LETTER
STATE OF COLORADO
[ATTORNEY/FIRM LETTERHEAD]
[Firm Name]
[Address Line 1]
[City, Colorado ZIP]
Tel: [Phone Number]
Fax: [Fax Number]
[Attorney Email]
[Colorado Attorney Registration Number]
VIA CERTIFIED MAIL, RETURN RECEIPT REQUESTED
AND VIA EMAIL TO: [recipient_email]
[Date]
[Employer Contact Name]
[Title]
[Company Legal Name]
[Company Address]
[City, State ZIP]
Re: Wrongful Termination of [Client Full Name]
Former Position: [Job Title]
Dates of Employment: [Start Date] through [Termination Date]
CONFIDENTIAL SETTLEMENT COMMUNICATION PURSUANT TO C.R.E. 408
Dear [Mr./Ms./Mx. Last Name]:
This firm represents [Client Full Name] ("our client" or "[Mr./Ms./Mx. Client Last Name]") regarding [his/her/their] wrongful termination from employment with [Company Legal Name] ("[Company Short Name]" or "the Company") on or about [Termination Date]. Please direct all further communications regarding this matter to our office and refrain from any direct contact with our client.
We write to demand immediate action to remedy the unlawful termination of our client and to resolve this matter short of litigation. As detailed below, [Company Short Name] terminated our client in violation of Colorado law and public policy, exposing the Company to substantial liability.
I. COLORADO EMPLOYMENT LAW FRAMEWORK
A. At-Will Employment and Exceptions
Colorado follows the employment-at-will doctrine, but recognizes important exceptions that protect employees from wrongful termination.
B. Public Policy Exception
Colorado recognizes wrongful termination claims in violation of public policy. Martin Marietta Corp. v. Lorenz, 823 P.2d 100 (Colo. 1992). An employee may bring a claim when discharged for:
- Exercising a statutory right or privilege - Filing workers' compensation claims, wage complaints
- Performing a statutory duty - Jury service, responding to subpoenas
- Refusing to violate the law - Declining to commit an illegal act at employer's direction
- Reporting or opposing unlawful conduct - Whistleblowing
The Colorado Supreme Court has held that the public policy must be "clearly expressed" in constitutional provisions, statutes, or regulations. Martin Marietta, 823 P.2d at 109.
C. Implied Contract Exception
Colorado recognizes that an implied contract may modify the at-will relationship. Continental Air Lines, Inc. v. Keenan, 731 P.2d 708 (Colo. 1987). Factors creating an implied contract include:
- Employee handbook provisions with specific termination procedures
- Personnel policies requiring "just cause" for termination
- Oral assurances of continued employment or job security
- Employer's established practices regarding discipline and termination
Note: Colorado law permits employers to include disclaimers in handbooks that negate contractual intent.
D. No Good Faith and Fair Dealing Exception
Colorado does not recognize the implied covenant of good faith and fair dealing as an independent basis for wrongful termination claims. Decker v. Browning-Ferris Industries of Colorado, Inc., 931 P.2d 436 (Colo. 1997).
II. COLORADO STATUTORY PROTECTIONS
A. Colorado Anti-Discrimination Act (CADA)
C.R.S. Section 24-34-402 prohibits employment discrimination based on:
- Race, color, ancestry, national origin
- Religion, creed
- Age (40-70)
- Sex (including pregnancy, childbirth, and related conditions)
- Sexual orientation (including transgender status)
- Disability
- Marriage to a co-worker
Employer Coverage: CADA applies to employers with one (1) or more employees - broader than federal law.
Administrative Exhaustion: Complaints must be filed with the Colorado Civil Rights Division (CCRD) within 300 days of the alleged violation. C.R.S. Section 24-34-403.
Remedies: C.R.S. Section 24-34-405 provides:
- Back pay and benefits
- Front pay
- Compensatory damages (including emotional distress)
- Punitive damages
- Reasonable attorney's fees and costs
- Injunctive relief
B. Colorado Whistleblower Protection
Lawful Off-Duty Activities (C.R.S. Section 24-34-402.5):
Protects employees who engage in any lawful activity off the premises of the employer during nonworking hours.
Public Employee Whistleblower Protection:
C.R.S. Section 24-50.5-101 et seq. protects state employees who disclose information about state actions that are not in the public interest.
Private Sector Whistleblower:
Colorado common law provides protection through the public policy exception for employees who report illegal conduct.
C. Workers' Compensation Retaliation
C.R.S. Section 8-14.4-101 prohibits employers from terminating or discriminating against employees who:
- File workers' compensation claims
- Testify in workers' compensation proceedings
- Exercise rights under the Workers' Compensation Act
Remedies:
- Reinstatement
- Back pay
- Costs and reasonable attorney's fees
D. FAMLI Act (Paid Family and Medical Leave)
C.R.S. Section 8-13.3-501 et seq. (effective 2024) provides:
- Up to 12 weeks of paid family and medical leave
- Job protection during leave
- Anti-retaliation protections
E. Healthy Families and Workplaces Act
C.R.S. Section 8-13.3-401 et seq. requires:
- Paid sick leave for all employees
- Prohibits retaliation for using sick leave
F. Wage Claim Retaliation
C.R.S. Section 8-4-120 prohibits retaliation against employees who file wage complaints or participate in wage proceedings.
G. Jury Service Protection
C.R.S. Section 13-71-134 prohibits employers from threatening or terminating employees for jury service.
H. Military Leave Protection
C.R.S. Section 28-3-609 and Section 28-3-610 protect employees who serve in the Colorado National Guard.
I. Voting Leave
C.R.S. Section 1-7-102 requires employers to provide up to two hours of paid leave to vote.
J. Colorado WARN Act
Colorado does not have a state-specific WARN Act. The federal WARN Act applies to covered employers.
III. FACTUAL BACKGROUND
A. Employment History and Performance
[Client Full Name] was employed by [Company Short Name] from [Start Date] through [Termination Date], a period of approximately [X years/months]. [He/She/They] most recently held the position of [Job Title] in the [Department], reporting to [Supervisor Name and Title].
Throughout [his/her/their] tenure, our client was a dedicated, high-performing employee:
- [Describe positive performance reviews, ratings, or commendations]
- [Describe any promotions, raises, or increased responsibilities]
- [Describe any awards, recognition, or special achievements]
- [Describe positive feedback from supervisors, clients, or colleagues]
At no time prior to [Date of First Adverse Action] did our client receive any disciplinary action or warning suggesting [his/her/their] employment was in jeopardy.
B. The Protected Activity / Triggering Event
On or about [Date], our client engaged in protected activity:
- [ ] Reported illegal activity to management or government agency
- [ ] Refused to participate in illegal conduct
- [ ] Filed a workers' compensation claim (C.R.S. Section 8-14.4-101)
- [ ] Filed a wage complaint (C.R.S. Section 8-4-120)
- [ ] Complained about discrimination or harassment under CADA
- [ ] Took leave under FAMLI Act or used paid sick leave
- [ ] Engaged in lawful off-duty activity (C.R.S. Section 24-34-402.5)
- [ ] Served on jury duty
- [ ] Exercised military leave rights
- [ ] Other protected activity: [Describe]
Specifically, our client [provide detailed narrative of the protected activity, including dates, witnesses, and documentation].
C. Adverse Employment Actions and Termination
Following our client's protected activity, [Company Short Name] engaged in retaliatory conduct:
Timeline of Adverse Actions:
| Date | Adverse Action | Responsible Party |
|---|---|---|
| [Date] | [Describe adverse action] | [Name/Title] |
| [Date] | [Describe adverse action] | [Name/Title] |
| [Termination Date] | Termination of employment | [Name/Title] |
On [Termination Date], [Supervisor/HR Representative Name] informed our client that [his/her/their] employment was being terminated. The stated reason of [employer's stated reason] is pretextual, as evidenced by:
- [Temporal proximity between protected activity and termination]
- [Disparate treatment compared to similarly situated employees]
- [Statements or evidence of retaliatory motive]
- [Deviation from standard company policies or procedures]
- [Inconsistent or shifting explanations for termination]
IV. LEGAL CLAIMS
A. Wrongful Termination in Violation of Public Policy
[Company Short Name]'s termination of our client violates Colorado's clearly established public policy. Under Martin Marietta Corp. v. Lorenz, 823 P.2d 100 (Colo. 1992), terminating an employee for [describe protected activity] constitutes actionable wrongful discharge.
The public policy violated is clearly expressed in [cite specific statute, regulation, or constitutional provision].
B. Violation of Colorado Anti-Discrimination Act, C.R.S. Section 24-34-402
[If applicable:] Our client's termination constitutes unlawful discrimination and/or retaliation in violation of CADA based on [protected characteristic or protected activity].
[Describe the discriminatory/retaliatory conduct and evidence supporting the claim.]
Administrative Status: [Our client has filed / intends to file] a complaint with the Colorado Civil Rights Division within the 300-day deadline.
C. Violation of Workers' Compensation Retaliation Statute, C.R.S. Section 8-14.4-101
[If applicable:] Our client filed a workers' compensation claim on [Date] for injuries sustained on [Date]. [Company Short Name]'s subsequent termination constitutes unlawful retaliation under C.R.S. Section 8-14.4-101.
D. Breach of Implied Contract
[If applicable:] [Company Short Name]'s employee handbook, policies, and representations created an implied contract. Continental Air Lines, Inc. v. Keenan, 731 P.2d 708 (Colo. 1987).
Evidence of the implied contract includes:
- [Specific handbook language regarding termination procedures]
- [Oral assurances made by management]
- [Company's established disciplinary practices]
[Company Short Name] breached this implied contract by terminating our client without cause and without following established procedures.
E. Violation of Lawful Off-Duty Activities Statute, C.R.S. Section 24-34-402.5
[If applicable:] Our client was terminated for engaging in lawful activity off the employer's premises during non-working hours, specifically [describe the lawful activity]. This violates C.R.S. Section 24-34-402.5.
F. [Additional Claims as Applicable]
[Insert additional claims such as Title VII, ADA, ADEA, FMLA, etc., if applicable]
V. DAMAGES
A. Statute of Limitations
- Wrongful Termination (Tort): Two (2) years. C.R.S. Section 13-80-102(1)(a).
- Breach of Contract: Three (3) years. C.R.S. Section 13-80-101(1)(a).
- CADA Claims: 300 days to file with CCRD. C.R.S. Section 24-34-403.
- Workers' Comp Retaliation: Six (6) months under workers' comp rules.
This claim arises from termination on [Date], and therefore the tort limitations period expires on [Date].
B. Economic Damages
1. Lost Wages (Back Pay)
| Category | Calculation | Amount |
|---|---|---|
| Base salary lost | [Annual salary] x [months] / 12 | $[Amount] |
| Bonus/incentive compensation | [Expected bonus] x [period] | $[Amount] |
| Overtime compensation | [Average OT] x [period] | $[Amount] |
| Subtotal Back Pay | $[Amount] |
2. Lost Benefits
| Benefit | Monthly Value | Months | Amount |
|---|---|---|---|
| Health insurance | $[Amount] | [X] | $[Amount] |
| Retirement/401(k) match | $[Amount] | [X] | $[Amount] |
| Other benefits | $[Amount] | [X] | $[Amount] |
| Subtotal Benefits | $[Amount] |
3. Front Pay / Future Lost Earnings
| Category | Calculation | Amount |
|---|---|---|
| Future salary differential | [Differential] x [years] | $[Amount] |
| Future benefits differential | [Differential] x [years] | $[Amount] |
| Subtotal Front Pay | $[Amount] |
C. Non-Economic Damages
Colorado permits recovery for emotional distress in wrongful termination cases. Our client has suffered:
- [Describe emotional distress symptoms]
- [Describe impact on physical health]
- [Describe impact on personal relationships]
- [Describe medical/psychological treatment sought]
- [Describe reputational harm]
Estimated non-economic damages: $[Amount]
D. Punitive Damages
Colorado permits punitive damages for willful and wanton conduct. C.R.S. Section 13-21-102.
Important: Colorado does not cap punitive damages for wrongful termination or discrimination claims. Geotech Energy Corp. v. Gulf States Telecommunications & Info. Sys., Inc., 788 P.2d 1276 (Colo. App. 1990).
[Company Short Name]'s conduct warrants punitive damages because:
- [Describe evidence of willful and wanton conduct]
- [Describe conscious disregard for employee rights]
Estimated punitive damages: $[Amount]
E. Attorney's Fees and Costs
Under CADA (C.R.S. Section 24-34-405), prevailing plaintiffs may recover reasonable attorney's fees.
Under the workers' compensation retaliation statute, attorney's fees are available.
Estimated attorney's fees through trial: $[Amount]
F. Mitigation of Damages
Our client has diligently sought comparable employment since [his/her/their] termination:
- [Describe job search efforts]
- [Describe applications submitted]
- [Describe interviews attended]
- [Describe any interim employment obtained]
G. Summary of Damages
| Category | Amount |
|---|---|
| Back Pay | $[Amount] |
| Lost Benefits | $[Amount] |
| Front Pay | $[Amount] |
| Emotional Distress | $[Amount] |
| Punitive Damages | $[Amount] |
| Attorney's Fees (estimated) | $[Amount] |
| TOTAL | $[Amount] |
VI. SETTLEMENT DEMAND
Based on the foregoing, we hereby demand that [Company Short Name] pay our client the sum of $[Settlement Demand Amount] in full and final settlement of all claims arising from [his/her/their] wrongful termination.
In addition to monetary compensation, we require:
- [ ] A neutral employment reference
- [ ] Expungement of negative information from personnel file
- [ ] Agreement not to contest unemployment benefits
- [ ] Mutual non-disparagement provisions
- [ ] Confidentiality provisions (subject to negotiation)
- [ ] [Other non-monetary terms]
VII. RESPONSE DEADLINE
Please respond to this demand in writing within twenty-one (21) calendar days of your receipt of this letter, no later than [Response Deadline Date].
If we do not receive a satisfactory response by that date, we are authorized and prepared to file suit in the District Court of [County] County, Colorado, without further notice.
VIII. PRESERVATION OF EVIDENCE
This letter serves as formal notice to implement a litigation hold and preserve all documents and electronically stored information relating to our client's employment and termination.
Failure to preserve evidence may result in spoliation sanctions under Colorado law.
IX. CONFIDENTIALITY
This letter constitutes a confidential settlement communication protected under Colorado Rule of Evidence 408 and may not be used as evidence in any proceeding except to enforce a settlement agreement.
We trust that [Company Short Name] will give this matter serious attention and respond in a timely manner. Our client prefers to resolve this matter without litigation but is fully prepared to pursue all available legal remedies.
Sincerely,
[Attorney Name]
[Title]
[Firm Name]
Colorado Attorney Registration No. [Number]
Enclosures:
- [ ] Authorization to Represent
- [ ] [Supporting documentation]
cc: [Client Name] (via email)
[File]
COLORADO-SPECIFIC PRACTICE NOTES
-
[ ] Broad CADA Coverage: CADA applies to employers with ONE OR MORE employees - much broader than federal law (15+ for Title VII). C.R.S. Section 24-34-401(3).
-
[ ] No Good Faith Exception: Colorado does not recognize implied covenant of good faith and fair dealing in employment. Do not include this claim.
-
[ ] No Punitive Damages Cap: Colorado does not cap punitive damages for wrongful termination or discrimination claims.
-
[ ] Public Policy Exception: Must be based on "clearly expressed" constitutional provision, statute, or regulation. Martin Marietta.
-
[ ] Lawful Off-Duty Activities: C.R.S. Section 24-34-402.5 protects employees from termination for ANY lawful activity during non-working hours. Unique and powerful protection.
-
[ ] 300-Day CCRD Deadline: CADA claims must be filed with CCRD within 300 days. Calendar carefully.
-
[ ] FAMLI Act: New paid family and medical leave law effective 2024. Includes job protection and anti-retaliation provisions.
-
[ ] Sexual Orientation Protection: Colorado was early adopter of sexual orientation/gender identity protections under CADA.
-
[ ] Workers' Comp Retaliation: Six-month filing deadline is very short. Calendar immediately.
-
[ ] Handbook Disclaimers: Colorado permits disclaimers that negate contractual intent. Review all employment documents.
-
[ ] Venue: District Court in county where defendant resides or where cause of action arose.