Yes, it is your court, if you bring suit, and if it is common law where the judge/magistrate is simply a referee so that there is order in the court.
In a Federal District Court trial, if the magistrate steps out of his position of referee, he can be charged with contempt by any tribunal member. But, be careful if you are doing this, contempt charge of a judge. Judges usually aren't imbeciles. If you aren't careful, it can backfire on you.
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I think you mean a claim. A suit is filed under the civil code/maritime law. You know Karl so you know words mean things.
Never does Karl (at least that I have heard) suggest holding court without a government court building or a government magistrate. So, it is a claim suit to do it in common law.
However, you could hold court in any fashion you want. Get your own jury. Get your own magistrate from non-government people. Use somebody's old barn for the court. But if the wrongdoer doesn't appear, and you try to send the sheriff after him, or you get a summary judgment, I don't think that much of anything would happen or be upheld. If you tried to force it, you'd probably lose when government and law enforcement stepped into your completely private trial proceedings.
However, you have good points. Perhaps as private membership associations grow, and they think about doing these things, they just might be able to successfully hold court over their own members, completely outside of any formal government court operation, yet in very similar ways to government courts.
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EDIT: I looked up the titles of the videos that Craig Lynch made of Karls talks, and the only two of them that had "suit" in them were 480 and 481, which were probably extensions of the same talk.
https://www.youtube.com/user/765736/videos