Designated Computer licenses are for the use of any number of different people to use on a single physical host, with the model being that it is used by a single person at a time who is at the "console" of the computer. A small number of releases ago, the license terms were changed to permit some remote access; those changes would not apply to older licenses.
You can move a Designated Computer license to a different physical host by deactivating on the old host and re-activating on the new host. If you did that, then there would be no need to associate it with a particular user.
Sometimes, though, you would prefer to have a license associated with a particular user, such as for tracking purposes, or to allow the person to access Mathworks documentation pages, or to allow the person to access MATLAB Online. If that is the case, and you are starting with a Designated Computer license, then you would need to get Mathworks to change the license type. My memory is that Designated Computer licenses were more expensive than Individual licenses, so I don't think there would be any charge.
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