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There is now a law that helps protect kids operating lemonade stands in Colorado

The law is in response to a kids' lemonade stand that was shut down in Stapleton last year. Three boys and their mom, Jennifer Knowles, set up the lemonade stand near a Denver arts festival.

KUSA - Gov. Jared Polis signed into law on Monday a bill that offers more protection to small, temporary businesses run by kids - like lemonade stands.

Senate Bill 103, called "Legalizing Minors' Businesses" prohibits any county or city from requiring a license or permit for people younger than 18 who are running a temporary business.

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Under the new law, the business must operate fewer than 84 days per year and be located far enough from other businesses to avoid unfair competition.

The bill's sponsors say they were inspired by an incident last Memorial Day when Denver police shut down a lemonade stand run by three young boys and their mom.

Someone complained and police shut it down after finding out the family did not have a permit. 

RELATED: Lemonade stand shut down by police now being welcomed by local businesses

After the incident, Denver's city council passed new rules allowing kids to legally operate lemonade stands in the city.

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RELATED: Kids can now operate lemonade stands in Denver

The exact verbiage in Denver's rule allows a "children's neighborhood beverage stand" and stipulates that the people running it must be younger than 17, be in a residential neighborhood and be at least 200 feet away from any other vendor that's selling drinks. 

Now similar rules apply throughout the state.

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