Assalaamu alaykum. There is a software called OEM (original equipment manufacturer) software, this is basically software that is cheaper than the retail edition of the software because it does not have packaging. It is software that is sold to computer builders and hardware manufacturers (OEMs) in large quantities, for the purpose of bundling with computer hardware. It can be bought by anyone but, when sold, it stipulates that it is not to be installed on your existing machine unless you are building one from scratch, which makes you a system builder. Is this stipulation allowed in the sharia? Am I obliged to follow that as the software is in my possession and I legitimately bought it?

All perfect praise be to Allaah, The Lord of the worlds. I testify that there is none worthy of worship except Allaah and that Muhammad is His slave and Messenger.

The basic principle is that it is an obligation to abide by the stipulations that do not violate the sharee'ah in all contracts. The Prophet said, "Muslims are bound by their stipulations, except a stipulation that makes what is lawful unlawful, or makes what is unlawful lawful." [At-Tirmithi graded it hasan saheeh (good or sound)] Ibn Taymiyyah wrote, "Stipulations that do not violate the Islamic sharee'ah are valid and binding in all contracts..." [Al-Ikhtiyaaraat]

Therefore, the lawful stipulations in any contract agreed upon by the contracting parties are binding on them.

The stipulation to which you referred in the question does not violate the sharee'ah; therefore, it is a lawful stipulation and you are obliged to abide by it and cannot violate it.

Allaah knows best.