The article attempts to systematize the fragmented views of N.K. Mikhailovsky on the development of social institutions such as society, power, state and civil society. Through the analysis of N.K. Mikhailovsky’s contradictory views on socio-political institutions and his criticism of Western theories the authors attempt to outline the political ideal of the thinker. As a result of the study of the theory of power and the state genesis, formulated in Mikhailovsky’s works, the authors have concluded that N.K. Mikhailovsky’s views fit the mold of the Narodniks (populists) ideology. He is critical of both the political power and the state as a political institution. He considers the possibility of society development without the state. He also considers an individual as well as various non-governmental organizations the foundation of society development. Being involved in debate with representatives of organist theory of social development, N.K. Mikhailovsky recognizes the validity of the statement that any organism – biological or social – develops and thereby it stakes a claim to the rights and freedoms of another organism. The way out of the situation is possible only with help of the restraining force that can develop without absorbing other social institutions. This role of such force can be performed by law and civil society.