His status as a former W-2 employee is a red herring.  Is the local work he hopes to do also as an employee, or as self-employed?  (Apparently he no longer hopes to do it, since he lost, but his status as self-employed outside the local area may be significant.)  

20 miles is a smaller radius than most non-competes. Courts look at the distance (50 miles is often used) and the time period (three years might work; forever, not so much).