The law says they can protect their software, providing they don't violate the user rights (which is the statement above <img src="/ubbthreads/images/graemlins/winkwink.gif" alt="" />). They could use a manual based protection (page 4, line 2, word 2) as this does not interfere with the back up. Sadly, most houses have decided not to bother with the user rights, and have opted to "cripple" the disc instead.
So what if you lose the manual or it's damaged in a fire/flood? What if they use a dongle for protection and it becomes damaged? (A dongle plugs into a port and sends an authentication signal, like an electronic key.) Any physical means of protection is effective, including CD based protetion, but then they can all become damamged or lost after the company has been liqudated.