People who obsess over software licenses: have you seen this new "non-violent" public license?

I have a question: If someone uses this license for software that includes GPL'd code, isn't that a violation of the GPL? This license puts arbitrary restrictions on what the software can be used for, which, seemingly, simultaneously violates Freedoms 0, 2 and 3

Seems like, if an NPL'd piece of software is used by, say, a defense contractor, and there's a suit, author loses

That license is not compatible with GPL, or any open source license, since that clause makes it not an open source license.

@neneko That's what I thought.

So what does that mean for enforcement? If someone discovers that their "non-violent" software is used by, for example, a prison door control system, and the author sues, is the license moot?

Or is it up to the authors of the included GPL'd software to sue the author of the "NPL"'d software?

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