Website hosts can scrutinize and void customer contracts if their client decides to dispense adult material or warez on their site. Free hosts like Geocities do it the most.
As far as I'm concerned, a license agreement is the gateway of how a company controls their product (or service) once in the function of a customer. They can set the rules as they like. I can't get into the specific of legal issues, as I'm no law analyst, but I doubt Jelsoft is breaking anything.
Concerning the issue of dispensing your own hacks, Shovel is absolutely correct. Why he addressed it here though, I don't know, because it should already be obvious that you can dispense your own snippets elsewhere as long as they don't contain complete vBulletin files.
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