[SpeedStreet]

I think the point that needs to be clarified here is what this hack does versus what people think the possibilities of a violation are.

vbHosting simply adds additional subroutines to your forum. Without the automated part of the hack, this gives me, the Administrator, the ability to create a new subforum whilst automatically creating a new style for that subforum. Now, I can appoint an "admin" to the forum that can modify ONLY buttons and styles.

How is this hack not incredible?

Ok, now let's dive into the license agreement in question, thereby resolving this beyond any reasonable shadow of a doubt:

By installing and using vBulletin on your server, you agree to the following terms and conditions. Such agreement is either on your own behalf or on behalf of any corporate entity which employs you or which you represent ('Corporate Licensee'). In this Agreement, 'you' includes both the reader and any Corporate Licensee and 'Jelsoft' means Jelsoft Enterprises Limited:

vBulletin licence grants you the right to run one instance (a single installation) of the Software on one web server and one web site for each licence purchased. Each licence may power one instance of the Software on one domain. For each installed instance of the Software, a separate licence is required.

In no manner of speaking does vBhosting recreate an additional software instance. The hack itself should be more aptly named "SuperSubForums"

The Software is licensed only to you. You may not rent, lease, sublicence, sell, assign, pledge, transfer or otherwise dispose of the Software in any form, on a temporary or permanent basis, without the prior written consent of Jelsoft.

As "The Software" has been determined to still be in the sole possesion of the Administrator of the existing site, and new "admins" do not have access to the source code (without additional renumerations from the aforementioned Administrator), this bullet point is also not subject to the issue at hand

If you have a valid licence, you may set up an additional test forum in order to test code, template and database modifications. To make this clear to us and our licence verification procedures, place it in a directory called 'testvb' and be sure to password protect it. It must not be accessible by the general public.
The licence is effective until terminated (Owner Licence)/The licence is effective for one year from the date you install the Software (Leased Licence). You may terminate it at any time by uninstalling the Software and destroying any copies in any form.
You undertake to;
:- ensure that, prior to use of the Software by your employees or agents, all such parties are notified of the terms of this Agreement; and
:- hold all data (including object and source codes), software listings and all other information relating to the Software confidential and not at any time, during the period of the licence or after its expiry, disclose the same whether directly or indirectly to any third party without Jelsoft's consent.
After the expiry of a licence, the Software must either be removed from the server, or another licence purchased.
All customers must submit the URL where they are using (or plan to use) each licence. The URL can be submitted via the vBulletin members area.
The Software source code may be altered (at your risk)
All vBulletin copyright notices within design templates must remain unchanged (and visible).
The Software may not be used for anything that would represent or is associated with an Intellectual Property violation, including, but not limited to, engaging in any activity that infringes or misappropriates the intellectual property rights of others, including copyrights, trademarks, service marks, trade secrets, software piracy, and patents held by individuals, corporations, or other entities.
If any of the terms of this Agreement are violated, Jelsoft reserves the right to revoke the licence at any time.
Refunds will be given at the discretion of Jelsoft.

There isn't anything within the terms of this agreement that would hold a product such as vBhosting in violation.

For posterity purposes, I will post the rest of the agreement:

The software and the accompanying files are sold "As Is" and without warranties as to performance of merchantability or any other warrantied whether expressed or implied.

Jelsoft is not liable for the content of any message posted on a forum powered by the Software.

Jelsoft cannot be held responsible and accepts no liability for any failure in transmission by you and where for whatever reason your transmission is corrupted fails to arrive or arrives after an undue delay or is received in an unintelligible form.

You must assume the entire risk of using the program. ANY LIABILITY OF JELSOFT WILL BE LIMITED EXCLUSIVELY TO PRODUCT REPLACEMENT OR REFUND OF PURCHASE PRICE.

Except in respect of personal injury or death caused directly by the negligence of Jelsoft, in no event will Jelsoft be liable to you for any damages, including any lost profits, lost savings, loss of data or any indirect, special, incidental or consequential damages arising out of the use of or inability to use such Software, even if Jelsoft has been advised of the possibility of such damages. Nothing in this Agreement limits liability for fraudulent misrepresentation.

Terms in this Agreement excluding or limiting liability in relation to breach of the terms implied by the "Supply of Goods (Implied Terms) Act 1973 or the Sale of Goods Act 1979 do not apply when this Agreement is made with a consumer.

This licence gives you specific legal rights and the you may have other rights that vary from country to country. Some jurisdictions do not allow the exclusion of implied warranties, or certain kinds of limitations or exclusions of liability, so the above limitations and exclusions may not apply to you. Other jurisdictions allow limitations and exclusions subject to certain conditions. In such a case the above limitations and exclusions shall apply to the fullest extent permitted by the laws of such applicable jurisdictions. If any part of the above limitations or exclusions is held to be void of unenforceable, such part shall be deemed to be deleted from this agreement and the remainder of the limitation or exclusion shall continue in full force and effect. Any rights that you may have as a consumer (i.e. a purchaser for private as opposed to business, academic or government use) are not affected.

From time to time, Jelsoft may inspect your registration integrity. This will be done without collecting any information whatsoever about your server or your users. The only information verified will be your licence number and the domain on which the software is run. Should Jelsoft discover discrepancies in the software usage, be aware that you may lose your licence and may face legal actions for Software Piracy. Your information will not be shared with 3rd parties. Occasionally, it is necessary to record your IP address for security and performance monitoring.

Please be aware that we subcontract our anti-piracy measures to Legal Research Associates. They may contact you to clarify your license legality, and will use an email address @vbulletin.com , @lra.com or @nukepirates.com .

This Agreement constitutes the complete statement of the agreement between you and Jelsoft, and supercedes all representations, understandings or prior agreements between you and Jelsoft.

Jelsoft reserves the right to modify these terms at any time.

This Agreement is governed by the laws of England and Wales.

Now, believe it or not, the second to last line, "Jelsoft reserves the right to modify these terms at any time." will not hold up in most United States Courts when it comes to contractual agreements. The only time an agreement can be altered in an instance when goods or services are bartered or purchased is when said agreement comes to the table again. In this instance, the license agreement can ONLY be altered if you have to make a payment on a lease or if you are purchasing an additional unit, and then only that unit is subject to the new agreement. This flaw (or feature) is known throughout the world as a "Grandfather clause" and is the source of many a copyrighter's nightmare.

I would continue my diatribe of contractual law and corporate ethics 101, but it is 5 am here and I have gotten very little done on my own board this evening. I hope this post has been somewhat enlightening.