Not to mention the fact that laws would be up to vigilante justice. In other words, I could come shoot you if your music was loud, rape your wife, etc... But, I suppose the rule of law and due process aren't important, just let everyone start killing each other like in the dark ages.
Actually that's precisely the sort of things that governments/government agents are good at. They, similarly to local mafie, claim a monopoly on that "right".