Thanks for sharing to remind us all. A non-compete for a minimum of X years clause might have helped the sting a bit.
I can keep my linked in Rolodex but I have to look for new leads for the first two years.
In the industry I'm in, the clause is boilerplate at this point.
As an employee I don't like it, as a potential employer I'll be including the clause
The OP said that he let the person go. I doubt very much that a business can fire/lay off a person and then also say that they can't work in the same industry for some period of time.
Otherwise, if you wanted to leave and take some clients with you, or work with a direct competitor, all you'd need to do is find a way to get yourself sacked.