I think I would much have to agree with Kay in the idea's of destroying a village. Considering the multitude of people, and the massive basis for which a village would have to be destroyed, the RP would have to fall under strict scrutiny, not only of the defenders, but of the attacks as well, as Kay so eloquently put.
As to the rules. It is a great Idea. However. With the creation of these rules, we would face the problem of people 'interpreting' the rules in a way which suits them.
For example:
Rule: No auto-hitting...
Interpretation: no auto-hitting unless the hasn't responded after so much time, or type an attack that basically leaves no opening to dodge or counter-strike.
It all depends on the person, and how they view things. As Kage said, we have no way to corral the opinions of the people and bend them in a specific way. Any rules that are created would be subject to being shifted all the time.
As for the enforcement administration, We would need, i think, to come up with a way for 'election' by the regular shinobi population. There would need to be enough, and the names quite public in case somebody has a question, or an argument over whatever RP situation . the people would have to range in time zones for the purpose of keeping somebody on nearly all the time. Furthermore, the officials would need to be perpetually active ALL the time, not just at random intervals when they please. Granted the time for when they have emergencies, or some other reason to need a hiatus for a little while. We would also need 'back-up' admins in order to fill in the places should we loose one or more of the starting Administrators.
Furthermore, the rules created would need to be subject to scrutiny, and change, or deletion, should it be found that the rule is unneeded, or containing some kind of bug, so to speak. Continually, the rules should not only be able to be challenged by the officials, but by the 'common' Rpers as well. Following that, say should a rule come under challenge five times, the rule should need to be reworked or fixed because there is something wrong with it for so many people to challenge it.
There should be, however, a set number of (say 10) rules that cannot be changed... these would be the baselines for other rules.
No other rules can be created by one person alone. It would need to go through all the Administrators, and then finally through the public before it can be approved.
So basically, if we set up a rule system, we would need to set up a governing system for that guideline system. It would be a long and complicated process...
I think it would be a good idea to set up guidelines that everyone follows, for that would make it simpler to RP, but also, I think it would cut down on all the OOC arguments over this and that. If a move breaks a rule, it is voided, and whatnot.
Of course, there will be problems with any system set up, so I guess it all depends on the RPer's will to be subjugated to the will of the rules. So before a rule system is set up, I think it should be put to a vote to decide weather or not to set up a rule system...