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[Crashlander04]

I feel as though you can hardly control power-gaming if there is no standardized RP. If you leave it up the players of course each one of them is going to be a king with twelves-and-a-half dragons, a legion of elite guards standing nearby at all times, and a Bentley he teleported from the future with his magic powers.

The best way to stop power-gaming of that sort is to simply ignore 'I summoned seven dragons to anally probe you to death, while the other five and a half dragons of mine watch 'The Simpsons' on a television I teleported from the future' and just go on like it didn't happen to your character. The only RP which can truly effect your character would be mutually agreed upon meetings, or any unplanned in-game actions.

Loopholes, however, cannot and should not be stopped. Unless you take the time to make a solid (and by solid I don't mean: Rule #69: No loopholes HURR HURR) set of rules of which they can't do any more than what is permitted, the bending and or maneuvering of character choices and/or manipulation is open to the imagination of whomever choses to do so.
I understand there is abuse from loopholes, but if it doesn't effect anybody other than that player, why shouldn't it be left alone? Especially if other players support the change from this loophole, and it can be advocated with enough reason it should pass.