Yes, the limitations can't violate criminal or contract law (or other laws in general), and can't completely prevent the licensee from making use of the licensing rights they paid for. Otherwise, any restrictions are fair game.
If the putative licensee doesn't want to accept the restrictions in the license, their remedy is to not enter into a licensing agreement in the first place; they have no right to simply ignore the license restrictions.
There are limits to what they can restrict.