Sometimes extreme situations call for extreme measures, but for the most part Santa is not about threatening kinds. Santa is supposed to be a part of a joyous celebration and it is supposed to be a reward for children and a way for parents to share thier love and give them a special day.
That way they also aren't allowed to say ''oh you better do X or god will get mad at you'' or ''oh you better listen otherwise you will go to hell with satan'' this will greatly help humanity I'm all for it, I'd say have this law everywhere as it should be.
Yes, more parents should live by this rule. Threatening children with fictional characters is definitely the easy way out for parenting. Children should listen to you, not because of some character that might give them presents if they are good, but because you are their parents and they respect you as a person.
Receiving presents from Santa Claus on Christmas was a big incentive for me as a child to not misbehave. I was told that if I were to not behave properly, I wouldn't get any presents from Santa Claus that year, so that was a great way to make me (and my friends for that matter) not get into as much trouble. It's no wonder kids are getting so rotten and misbehaved, nobody will teach them manners or punish them if they need it, and I'm only 20. I see nothing incorrect with telling a child that Santa won't give them presents if they don't behave themselves. If they're scaring the child by saying Santa will kill them that's one thing but denial of presents, what I assume they mean by "threaten", is another.
Many parents find the threat of Santa not bringing presents for Christmas a very effective tool to have in their arsenal in the busy period leading up to the holidays. It doesn’t do any permanent emotional damage to the child to be chiding into behaving themselves for a few hours.
Kids look forward to Christmas to get a visit from Santa, Easter to get a visit from the Easter Bunny, and even losing tooth to earn a visit from the Tooth Fairy. It's all part of childhood, and is all part of the magic of seeing children happy and fulfilled. Taking that away really just ruins childhood.