Shortest note we can use is 1/16 (??).
Nope, a hemidemisemiquaver is an 1/64st note.
but I have no idea what a "perfect tenth" is).
Something I quickly put together.
A perfect tenth is any interval of two note exactly ten notes apart, so there's nine notes between them. And a perfect tenth is about the largest chord a human hand can make.
Do all notes have to start at their "natural" boundaries? For instance, is it allowed to have a 1/16th note followed by a 1/2 note (and then another 7 1/16th notes)? My intuition says this would probably sound horrible, so we might want to disallow it, but from your description so far it seems okay.
They're allowed.
Should all notes played at the same time have the same length? Is it okay to start playing a 1/2 note C and in parallel play first a 1/4 note D, then 1/4 note E? How about even weirder combinations: start playing 1/2 note C and 1/4 note D. After that 1/4 note D play a 1/2 note E (so that for the length of 1/4 note we're playing C and E), then after the 1/2 note C ends, play a 1/4 note F (so that we end with the second half of the 1/2 note E and the 1/4 note F, having played a composition of 3/4 notes in length).
Following the official rules of sheet music, there can be (but don't have to be) up to two "voices", or tracks. So what you're saying is possible, but there can only be notes of two different timings at a time.
Is there anything special about rests? In other words: we're allowed to play at most five notes at a time (if they're "close enough"); is it okay to model a rest as playing zero notes?
Sure, that's what a rest essentially is.
Just to be sure, 1/4 note C immediately followed by another 1/4 note C is different from 1/2 note C, right?
Yup, unless you use ties, but I'll leave them out for now ;)
My five notes at a time, most people have two hands...!?
Completely true, and I understand your confusion. But we use two different bars for two hands. And I'm focussing on a single hand right now, if we wanted to add a second hand we'd just need the final answer squared, right?