is there something about laws in the United States that discourages these businesses?
No, not at all. In both the US and the UK, though, papers can't be knowingly sold for submission purposes. We provide model academic papers and students should use them as research aids. Giving them in as their own is not just a violation of academic integrity policies but, in some jurisdictions, of the law. As long as we operate within those parameters, do not engage in false advertising and pay our taxes, etc ... we are ok.
Many companies incorporate in the UK and US so they may advertise themselves as British/American. However, they do not operate there and none of the partners/company owners are residents/citizens. Customers do not enjoy the same rights which they do were they to deal with companies which were actually (and easily) accountable under UK and US law.
there are "legit," which is becoming a horrible and over-used term, companies everywhere.
True ... a few of the particularly rotten ones have some excellent writers on their books and a handful of good administrators. But the chances of customers coming across a really bad writer are much higher than their being assigned one of the few good ones. Same with writers - for every good administrator they come across, they run into countless intolerable ones :)
That being said ... there are a few foreign-owned sites out there which are very good. Similarly, there are some horrid British and American ones (not just incorporated in these countries but owned by nationals). So, it is not a question of nationality but of honesty and quality.