For Kimihito this means that the only thing really stopping him from going all the way with his housemates is his uncertainty/not wanting to hurt them, and their own competitiveness with each other making it difficult for any of them to make a move. Albeit there are implications that the government has simply given up trying to enforce most such rules (especially with groups like Black Lily competing with them in the PR department), instead merely trying to make sure any actual sex takes place in private and that no one gets abused.

The whole 'can't have sex with a homestay' law seems to have just been completely forgotten in later chapters, where there are amorous dating meet ups being set up without any commentary as well as several inter species couples out in the open, many of which are openly sexual.2D Visuals, 3D Effects: The kissing fish in Episode 9 feel out of place among the other sea creatures.