I don't quite understand this method. It would explain why I could do it easily in a VM that already had SQL on it. As far as the technique, it would make sense as it would keep one from sending it do another practice, but one would think that would be difficult given the license would belong to one practice. Although, you can use AC (or could) on a machine without an Internet connection (which would be a problem due to phoning home, etc. besides ePrescribe, etc.), but you were able to do that under Dr. Berman a while ago. But, you did have to check in with AC every few months and would still have to activate it.
But, what I don't get is that if you beta test, it won't install on a new machine without support giving you a 24-hour license key. Which would take care of the problem of the pirating. But, this is a huge problem. One just can't be held hostage via a backup file. So, that would mean that 8,000 practices who are not pirating have to go through this because of the others.
I have never worried too much about security/HIPAA stuff on my server. But, if the feds were really looking for issues, it would seem as though this would be a medicolegal issue if you were 24 to 48 hours or who knows if you were without patient data (due to an issue that we and AC know alreaedy know about).