Defending territory

If Black omits this move, White will play 1 in Diagram 2, threatening to capture the marked black stone. Black cannot escape. If he tries to run away with 2 and 4, White pursues him with 3 and 5, driving the black stones into the corner, where they run out of liberties. White captures four stones with 7. Not only does this capture gain White eight points, but it also wipes out most of Black's territory on the right.
Illegal moves
In general, you can play on any vacant intersection, but there are some restrictions. One is that you cannot commit suicide. In other words, you cannot play so as to fill the last liberty of your own stones. Here are some examples.