A Digital License Management System or DRLS for short is a system that manages the licenses of the software installed on a machine and ensures that the user does not run a program to which he/she has no valid license. Such restrictions are commonly misrepresented as "digital rights" and those systems are therefore called "digital rights management systems" but in fact they are all about digital restrictions imposed on the users so I prefer to call them "digital destrictions management systems" or (more neutrally "digital license management systems" or DRLS).
A typical DRLS is used to obstruct user's freedom - to ensure the user does not have the ability to ignore the license terms when using the software or other data issued under a license such as a movie. By contrast, the DRLS in OSHS, which is called ODRLS (OSHS Digital License Management System) is used to obstruct the proprietary software developers so they cannot easily establish traps in OSHS, catch the majority of OSHS users into them and then force the OSHS out of its strategy.
A typical DRLS is a proprietary software, because this is necessary to be able to obstruct the users. But the ODRLS is trying to obstruct the proprietary software developers instead of the users so it can be a free software package and still function very well. This of course means that the developers may create patches to the ODRLS that allow a particular proprietary software to pass through it even if no user permission is available. But the developer has not enough power to ensure that every ODRLS installation in the world will include these patches - and typically the community will not accept weird patches from strangers before they are thoroughly reviewed to make sure they don't create holes like that described above.
The purpose of the ODRLS is to discourage developers from making proprietary software. The ODRLS system provides an easy way to stop proprietary software for those users that don't want to use it. With ODRLS it is not easy to use names like "added value" or "dedicated superior quality" or similar shiny ones for proprietary software bundled into the operating system, because ODRLS always tells the user the truth - that proprietary software is just a bunch of numbers he is not allowed to understand nor change, it can change his system without his knowledge and approval and he is encouraged to refuse it and discontinue trusting the company that tried to lie to him.
The basic idea in the ODRLS is that only signed binaries are allowed to be executed by the user. The OSHS compiler is allowed to sign the binaries so the user will be able to install and run any software that he/she has the source code for.
When the ODRMS encounters a binary that has no valid signature on it, it asks the execution server to refuse to execute it and report that there is a problem with the license of the binary software the user is going to install and/or execute. The user then may decide if he wants to allow the binary to be executed or to refuse it and go complain to the source he obtained the binary from.
Digital signatures will be used to ease distribution of binary packages created from free software. These signatures will consist of the license document (or the license identifier if the program is released under a license built into the ODRMS), the identification of the compiler used to build the distribution and the settings of the compiler; all these things digitally signed with the key of the package provider. Using these signatures the ODRMS system will easily differentiate binary packages that are free software from other binary packages and avoid bothering the user with itself when he is just installing such binary packages instead of building the software from source. The ODRMS simply signs the binaries from the binary package if the user states that he wants that very package to be installed.