Only if you purchased a multi-device license. Sharing a single-device license will cause deactivation conflicts.
Typically, a Lifetime license includes updates for the current major version. Major version upgrades (e.g., v5 to v6) may require a discounted upgrade fee. Yt Saver License
As long as you deactivate the license before formatting, you can reactivate it on the fresh system. If you forget to deactivate, contact support to reset the key. Only if you purchased a multi-device license