Arnold Kling argues that it is not that government relies on coercion — every private contract ultimately relies on that same coercion — that makes government laws worse than private contracts.
The difference between government laws and private agreements is not that only the former are ultimately backed by force. The difference is that the cost of finding an alternative government jurisdiction is typically much higher than the cost of finding another private party to a contract.
Which is why nobody really emigrates to Canada when their preferred presidential candidate loses.
