They lead 2-0 through goals from Steve Torpey and Dave Mulligan, but conceded twice as the game went to extra-time.
The visitors took the lead, but goals from trialist Shane Paul and Ian Baraclough saw United take a deserved win.
"It was an incredible game and we played some fantastic football in the early stages," said Laws.
"We looked leagues apart in the first half and how we didn't turn round at the interval 5-0 in front I don't know.
"But really we gifted Lincoln all three of their goals and made it really difficult for ourselves.
"But we found the desire and commitment that was needed to come back and snatch victory. That is what my team is all about."
The Imps were disappointed not to have forced the win, but director of football John Deehan admitted his side had not performed well for large periods of the game.
"If they gave out medals for commitment, effort and endeavour then our boys would be at the front of the queue," he insisted.
"But they would also probably be at the front if they gave out medals for naivety. We did not play well for 60 minutes but once Mark Stallard had brought us back into the game we were superb.
"Credit to Scunthorpe, they managed to find something in the second half of extra time as we had done in normal time."