Can I copy my existing Office 2007 system for use on my new PC legally?

you can't just cope files accross from one to another. it won't work.
You probably need to install on the new pc and activate it
 
So you're saying I'd have to spend money buying another activation key to use it on the other PC? Or can I use the same one?
 
If you delete it off of your old system and install it on a new one it will work. I assume you have the installation cd and activation key from the original one?
 
From any of the Office 2007 applications, Help > About > License Terms. If you purchased the software separate from the computer, retail, then you have certain licensing. If the software came with the computer then licensing may be different, OEM. Read through that licensing document. It will detail if you can uninstall and activate the license on another computer or not.
 
If you are transferring the office 2007 to the new machine, i.e. you are going to delete the old one, then you are good to go. I have read before that you can activate the software only 3 times. If that's the case, I would go and install it.
If not, then it becomes illegal unless you purchased a volume licensing.

Another option for you is to install Open Office. It's free and compatible with MS Office.
 
You can install Microsoft Office on more than one machine at a time. I bought a copy of Office and had a similar question and called Microsoft. They told me it was fine because I had an official copy. I have it installed on 3 computers. Desktop, laptop and my Daughters computer with no issues.

So to answer your question...just pop the disk in the other machine and load it up. As long as you have a legit copy of Office, it will install fine and it's perfectly legal.
 
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