Takeaways
A two-year limitations period (or three years, for willful violations) applies to claims under the Colorado Minimum Wage Act, not the longer six-year catch-all limitations period that some state courts have applied.
While the Minimum Wage Act does not provide a specific limitations period, the Colorado Supreme Court reasoned that it makes the most sense to apply the two-year period set forth in the Colorado Wage Claim Act, which is part of the same statutory scheme. The two-year period also aligns with the statute of limitations in the Fair Labor Standards Act.
The decision clearly limits the potential liability period for employers facing state-law minimum wage and overtime claims and prevents plaintiffs from statute shopping based on the more favorable statute of limitatio