As long as they handle it better than SOE's StationID. Good lord that thing is a nightmare. If I want to transfer ownership of a peice of software I bought, I should be able to remove the game's serial number from my ID, and give it to someone else, who can register it and play it. Anything else is illegal, but I don't have the cash to bring a lawsuit on them, so I get screwed.
There's a valid disadvantage. You (probably) can't give someone else your key if you are done playing the game. I don't see this as that bad for me personally, but I agree that someone should be able to give their software away (assuming they don't play it any more).