I hope you have the ability to ignore any legal action someone wants to take against you and shoot a crossbow bolt in their throat. Anything that forces you to pay something is really stupid. If someone wants to try suing me they'd better do it fully knowing I'm going to turn them into a pincushion for it, laugh at their attempt at legal action, and then steal their money.
My $0.02
Well there will be an assortment of cities and smaller villages and free areas.
if you commit crime in a city, you'll be wanted in that city, and can be jailed by the local cops
if you commit crime in a village, you'll have a bounty set by that village and anyone can kill you freely
if you commit crime in the woods in the middle of nowhere, unless someone else kills you out of heroism, you're good to go.
However player to player punishment (suing), I haven't fully worked out yet