Cats have territories that they mark with scent, and patrol. Sometimes different cats will have the same territory, but each will patrol at different times of day; one cat will ‘own’ a street during the day, and another will ‘own’ the same street at night. When two cats ‘own’ the same street at the same time, they will (perhaps after a stand-off or a fight) share half the street. They will do similar things when they live in the same house together. Although these behaviours do not eliminate conflict entirely, they do serve to minimize both open conflict and the opportunities for it among cats, which is obviously beneficial to them.
I assume this must be because there is a supremely wise cat government, which has the monopoly on rule making and enforcement.