The FlexNet license server daemon normally runs on one host. LSF tolerates failure of the license server daemon for up to 60 hours, as long as the master LIM is not restarted or shut down.
If you are installing a permanent license, choose a reliable host as the license server host to ensure that the LSF licenses are always available. Although the license server host can be an LSF host, it is usually a host outside of the cluster. The license daemons create very little load, so they can be run on the host that is the dedicated file server for the Platform LSF software. This permits the licenses to be available whenever the LSF software is available.