Grossman v. Sherman

In 1970 the defendant Grossman, a urologist, entered into an employment contract to practice medicine as an employee of the plaintiff Colorado Urological Associates, P.C. (Associates). The contract required Grossman to pay $20,000 as liquidated damages if he engaged in competitive practice in the event of the contract’s “termination.” The trial court held that the liquidated damages clause did not survive after Grossman completed his agreed one year of employment under the contract. The court of appeals reversed. Colorado Urological Associates, P.C. v. Grossman, 34 Colo. App. 420, 529 P.2d…