The rules should be based on the collective will of the people, but constrained to prevent mob rule or the oppression of the innocent minority by the whims of the majority. They should be based on the theories of fairness and equality.
There must be a method to assess the will of the people, which in turn must be tempered through review by individuals who have selected to ensure fairness and equality. Pretty much like the Constitutional Government of the United States of America. Democratically elected representatives and a strong judiciary to review it all.
You can't impose morality. You can impose punishments and sanctions against those who act illegally. But that won't stop people from trying to impose their morality on others.
ichi

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