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What happens if a user is running a P-CAD license and temporarily loses connection to the network? (For example, they stray from a wireless network or lose power to their machine).

In theory, the Client PC needs to request a license renewal from the server within a certain amount of time (set to 300secs by default). If the Client PC doesn't request a renewal, then the license sever will reclaim the license and grant it to another user if requested. The Sentinel License Manager System Administrators Guide provides a little more detail:

Step 6: Client Renews License

"Each license code specifies the maximum time period that a license may be held by an application without renewal. After a client has received a license, it must periodically request a license renewal from the license server. Forcing a license to be renewed allows a license server to reclaim a license when there is a problem with an application or a client computer. If the application doesn’t renew its license within the allowed time, it loses its license and the server may grant it to another user. This action is handled by the application and is transparent to the user on the client computer."