I will see what happens on my Reader, with the altered/convered Mobi file. I highly doubt there will be any expiration issue, because it's not longer in the native format. With Adobe Books, Sony has native software on the Reader for that. But as I said, out of respect for libraries in general, I will respect the expiration and delete the book when I'm done with it.
I was surprised at how easy it was. I expected a bigger hassle. Nope. Library card number, zip code, checkout, download, done.
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