We had plenty of laws in Wolfstadt, most people didn't like them.
Mostly though, the various nobles of the city interpreted the law into what fit them, and most people never really caught on to toss. For instance, it's illegal to be an Earthspawn in Wolfstadt but the punishment was only ever kicking them out of the city. My character took it upon himself to make sure every minority got the punishment they deserved, even if it wasn't against the laws. Everyone always said that the government was corrupt, when it was really just my character not enforcing the law correctly. The actual Arch-Duke was a very kind man, he was just too trusting in the wrong people.
The only other rp where I dealt with laws outside of Wolfstadt was possibly the worst rp experience I've ever had. We were trying to get a certain prisoner out of Tambry and, the rp with Anthology was great. I love how they do laws in Tambry, though it doesn't really work out with how he did things in Wolfstadt. Everything else that happened with that rp was absolute cancer, though I do think we could have built some nice international relations of that rp were able to be finished.
Back on topic though, I think the fact that the rp happens in a little tavern in the middle is nowhere really puts a damper on laws in general. Why bother following the law when I can go to the magic inn and be protected?