When I first setup a Windows 2000 and then 2003 Server in our office using per-server licensing, we got the default 5-user CAL pack. I noticed that after 3 users logged in, the Server would kick out a notice that I had too many people has logged in. That's when I noticed that the Server was counting users twice – once for their login, and once for their computer… For example, if User X logs in from Computer Y, then both X and Y would show up as having used a license.
The only workaround I found was to disable the License Logging Service.
What was I doing wrong?
Best Answer
You weren't doing anything wrong, per se. The License Logging Service is deprecated (except on some of the "Small Business Server" flavors) and you're safe to disable it.
From http://technet.microsoft.com/en-us/library/aa995711.aspx
See also: http://support.microsoft.com/kb/316631