My Uncle is wanting to update servers at his business, and he's wants to put Server 2003 on. I'm gonna be the one installing this for him, and I was wondering if we bought a 5 Client Access Licenses would the server stop taking connections from other computers on the LAN once 5 computers were connected?

We are looking at having somewhere around 25 computers connecting to the server at various times.

When you buy a CAL how exactly does it work? Do you have to put a registration key into the server that opens up more slots for more computers to connect?

I'm just trying to find out what I need to know. I've never messed with licenses before.