Reports have suggested McDonald - who was fined for leaving Turf Moor without permission at half-time during last weekend's 6-1 defeat to Manchester City - headed to a nearby pub after departing the stadium.
The 21-year-old issued an apology on Tuesday for his "naive" and "disrespectful" behaviour, while his manager today admitted McDonald "was an idiot for doing it".
But Laws insists he has now drawn a line under the matter and will consider the Scotland Under-21 international for this weekend's crucial relegation six-pointer at the KC Stadium.
"He's made an error, he has held his hand up, he has taken the punishment and he's apologised," Laws said. "What more can you ask? It was a judgement call he made and it was the wrong one.
"We'll draw a line under it and move on. He'll certainly be within the squad, so there's no further punishment."
He added: "He feels a bit of an idiot and he was an idiot for doing it, but we have to draw a line under it and not further punish him.
"He's a nice kid, he's just had a bad day at the office and he took the wrong decision."
There have been rumours of unrest in the Burnley camp, with Laws reported to have had disagreements with Clarke Carlisle and Robbie Blake - who is also thought to have reacted badly to being substituted at half-time against City - but the manager denied there had been any bust-ups.
"I can't influence what's going on on the outside," Laws said.
"If people are putting rumours around like that, there is nothing I can do about it, other than to say that there has been no bust-up whatsoever.
"Obviously we have had a problem with McDonald, but there was nothing to do with Robbie at all.
"Robbie and I get on really well, there is no question about that, so end of story."