The Free Society of Mezohde was founded by the Achalion corporation, who built Mezohde City. The CEO, Ruj Gwon, envisioned the society as a utopian anarcho-capitalist society where no person could have their body or property forcibly violated and crime would be regulated through arbitration and, if that failed, ostracism.
Businesses quickly realized that ostracized individuals effectively were immune to further punishment, and therefore could be used to deter competing businesses with theft, vandalism, or threats of violence. Since non-aggressive arbitration was ineffective in such cases, enforcers began to appear as a way to deliver justice.
Due to phosphorus shortages on Aldwe, mining phosphorus on Mezohde became a lucrative source of income. Attracted by the possibility of wealth, settlers came to Mezohde in droves and caused a massive population boom. Unable to cope with the sudden influx of demand, Mezohde experienced a food and housing shortage, which in turn caused a surge in criminal activity and led to the rise of banditry.
Private prisons were created to force prisoners to mine phosphorus deposits. Prisons would pay enforcers for every prisoner they turned over, so enforcers would often arrest people who had committed no wrongdoing.
Private arbiters were the main source of conflict resolution in Free Mezohde. When a dispute arose between two or more parties, arbiters would be hired to provide a verdict. Failure to comply with the verdict would place the person on a registry of ostracized persons, causing it to be more difficult for them to be employed.
In the early period of Free Mezohde, ostracism also extended to obtaining services. However, when it became apparent that there was a rising class of permanently ostracized individuals, businesses realized that they could have a monopoly in the market of ostracized people. Eventually, as more and more businesses entered the market, services available to ostracized and non-ostracized individuals became nearly identical.
Private enforcers took the place of the police in Free Mezohde. These enforcers could be individuals; one of the most famous examples of an individual enforcer was Atlara Bastre. Parties with the financial means to do so would most commonly pay monthly protection fees to one of the enforcer companies, such as the Achalion Peacekeepers.
When a party felt that they had been attacked, insulted, or wronged by another, enforcers would punish the other party or force reparations for the crime. This punishment most commonly took the form of violence or forced service in private prisons, where prisoners would be forced to perform labor (most commonly phosphorus mining) for little to no compensation.