Like it or not, some people, a minority, have more clout than others. Than the demographic majority. That’s a fact.
Check Vilfredo Pareto’s principle, if you need more theoretical background.

Things tend to survive.
From the moving object which ‘wants’ to conserve its linear trajectory and speed – Newton’s first law, to the survival instinct which is manifest in all living organisms.

Those with more clout than the others, the elites, are included here. Among the things which want to survive.

As humans, the elites are endowed with consciousness. They are aware of their own status. And of their own fragility.

In time, they (should) have learned a few things.
– They are not infallible. Neither individually and nor as a class.
– When things get really bad – revolution grade bad, they have the most to loose. Regular Joe has nothing to loose but his shackles while the ‘landed gentry’ has everything to loose. Even if land itself has nowhere to go.
– The best way to preserve elite status is through the cunning use of the law.

The point being that these three ‘pearls of wisdom’ must be kept in balance. Whenever one of them is forgotten, things go south. Revolution grade south.

Let me deal with the last but not least one.

Any Law is nothing but the formal expression of an already existing reality.
It doesn’t matter whether that reality is ‘hard’ or ‘virtual’, all it has to do is to be ‘real’.
For example, Newton’s laws describe a portion of the physical reality which surrounds us. The penal codes, all over the world, are the formal expressions of the prevailing mores in each of the respective countries and territories. And both physical reality and prevailing mores are actual realities, even if the first is ‘hard’ while those belonging the second category are virtual. Both have consequences, hence both are real.

OK, very nice. Your theory covers the kind of laws which attempt to describe already existing realities.
But what about the laws which attempt to ‘regulate’ the future? For instance the laws which prevent us from smoking in public places or those which mandate us to pay a portion of our income at the end of the fiscal year? Where is the reality described by these laws?
In the head of those who had come up with them in the first place!
‘They’ had somehow managed to convince us to accept these laws. Which means that ‘their’ convictions had been strong enough to produce consequences. Hence their convictions had been ‘real’.

Among the laws which regulate the future are those which attempt to conserve the already present situation. Starting with the various Constitutions and all the way through to the anti rioting legislation.

If you look close enough, the special status of the elites has a special place – even if not always mentioned as such, in all these pieces of legislation.
Which is not necessarily bad. After all, we’ve already learned that elites do have a role to play in the well being of the social organism we all belong to.

The whole thing boils down to how protected those elites need to be?
In order for them to be able to properly play their role.

We are now faced with another question which needs to be answered.

‘Their role’?

To lead the masses? Where?!?

How about ‘to maximize the chances of survival’? For both the society as a whole and for them, the elite class, as a very important part of the whole?

Let me remind you of the ‘three pearls of wisdom’.

The elites are not infallible.
They are the ones with the most to loose. Hence they are the most interested in maintaining the status quo.
The most efficient way to insure stability is through the wise use of the law. Which must be written wisely and obeyed respectfully.

Hence it’s the elites which mostly need to act wisely.
They are the ones who need the most to constantly adjust their actions according to the consequences obtained.

‘OK, very nicely put.
But what has any of this to do with ‘laissez faire’?!?’

Laissez faire is, above all, an attitude.
A mental frame-work. A blue print, if you want.

An attitude which mandates each of us to do as we please, for as long as we don’t encounter adverse reactions.

For instance, this attitude would allow any of us to shoot ourselves in the foot, if we don’t mind the pain. Or shoot somebody else in the foot if he doesn’t protest.

And this is the real problem with laissez faire.

It cannot be written into law.

‘ ‘Shoot somebody else in the foot if he doesn’t protest’… What does that mean? There are laws against bodily harming others…’

Yes, true enough. But before any law is enforced, somebody has to notify those called to enforce that law…
If the hurt person is in no position to call the ‘cops’ or the ‘shooter’ is powerful/skillful enough to avoid the unpleasant consequences of his actions…

On the other hand, laissez faire is essential.

People do need to be free. It’s their nature to explore every available opportunity!
Specially so for the elites.
Remember their role? To maximize the chances of survival?
How would they be able to do that if nobody is allowed to do as they please? To explore, that is!

Hence the true role of the elites.
To constantly adjust the meaning of laissez faire to whatever happens around them.