The sign shop owner is a of a do-it-yourself sign studio. Nothing proprietary or really unique was "taught" in the class. We applied stain to wood with a brush, then dabbed paint on to make lettering, just like what it seen in literally hundreds of videos online. Their terms and conditions (when you purchase a class which is a 2-hour block where general instruction is given) state that by "being a participant" means you "can not sell the sign you make in our studio nor can you use any skill you learned there, nor can you engage in any business by investing or participating directly or indirectly, that makes such products within a 200 mile radius". It seems unreasonable to make such a limitation.
Short answer, I don't think so, but it doesn't mean that the sign shop owner cannot try. Typically agreements like you describe are apart of an employment agreement and are referred to as a non compete agreement.
I suggest that a consult with an attorney in your area may be appropriate to make sure any documents ect are viewed by the attorney and then specific advice given.