There may also be requirements for diplomacy with other houses, where its better to have a democratically elected leader to make agreements for us.
Internet politics fail in these games. See: Eve. I agree a democratically elected leader would be great and the FRR more than anyone else would be positioned canon wise to take advantage of that aspect, but it's important to remember this isn't a large scale version of the P&P RPG. Sadly, the nature of MMOs will take over. Unless there is a thought out diplomacy system implemented in the game at launch, then it all devolves into internet back stabbing, people will make an agreement with you then **** you over as soon as they get what they want because there are no repercussions. (Auto rebuttal: NO, real life isn't like that. Thanks)
Now, all that aside, as a player base, we could come together and attempt to make a FRR agreement and try to live by it (ie. all FRR merc companies strive to help each other, never attack each other etc), but the number of people who play a game and the number of people who frequent the forums are two disproportionate numbers.
I know, I know, I am negative. Been playing EVE and WOT to long to think any sort of diplomacy will actually work. Our best bet this early before launch is to stay active and setup our own company of guys devoted to the FRR ideals so that when the game goes live, we can shape our game play experience accordingly. What the Dev doth not giveth, we shall Take.