Uhh NO? Updating backups is literally asking to get banned. Do not update back ups if you care about that. I have 14 backups on my SD card and majority of them ask for an update but who cares? Just click "start software" instead.
Yes, but there are ones with mandatory updates.
So, here's how this happens.
Example A.
The Legend of Zelda was in this switch long before I installed SX OS on it, and was online. I haven't used it in this Switch for months now, and recently turned off all wifi on it and installed SX OS on it.
Backed up the Cartridge and now it's asking for a mandatory update which the window comes up with the dialogue (paraphrasing):
[This title needs an update:]
Cancel | Update
Example B.
You have dumped a title which your Switch Unit has never used or played online before, and is asking for an update:
[This title has an update:]
Start software without update
Cancel | Update
There are the problems we are having in some sort of miscommunication, above.