<p>I am developing a piece of software in Python that will be distributed to my employer's customers. My employer wants to limit the usage of the software with a time-restricted license file.</p>
<p>If we distribute the <code>.py</code> files or even <code>.pyc</code> files it will be easy to (decompile and) remove the code that checks the license file.</p>
<p>Another aspect is that my employer does not want the code to be read by our customers, fearing that the code may be stolen or at least the &quot;novel ideas&quot;.</p>
<p>Is there a good way to handle this problem?</p>

Python, being a byte-code-compiled interpreted language, is very difficult to lock down.  Even if you use a exe-packager like
py2exe
, the layout of the executable is well-known, and the Python byte-codes are well understood.
Usually in cases like this, you have to make a tradeoff.  How important is it really to protect the code?  Are there real secrets in there (such as a key for symmetric encryption of bank transfers), or are you just being paranoid?  Choose the language that lets you develop the best product quickest, and be realistic about how valuable your novel ideas are.
If you decide you really need to enforce the license check securely, write it as a small C extension so that the license check code can be extra-hard (but not impossible!) to reverse engineer, and leave the bulk of your code in Python.