No Stupid Questions
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To start, it's a large scale demonstration of the Dunning-Kruger effect. They obviously understand very little about the law, if anything, but they think they understand one loophole and the sense of understanding breeds confidence. When you understand nothing, the feeling that you now understand something can be a powerful one.
Follow that up with a conspiracy-theorist's mindset and it starts to make more sense. The SovCit thinks they understand this loophole, but that They don't want to allow it. Who are They? Pick one. The Deep State, Corporate Elites, Rogue Judges, whoever it is that the SovCit feels has the power and will to ignore the rules just to personally thwart that SovCit's stunningly clever application of the law. Now, their case isn't failing because literally everything they thought they understood about the law is wrong, it's because that Judge is willfully ignoring the law in an abuse of power specifically intended to put a stop to this. It's not that the SovCit was wrong to think their signature on legal documents was meaningless because they wrote "Rights Reserved" beside it, the Deep State just doesn't want people to know that's how you avoid consequences!
Finally, wrap it all up with mythical "experts" and a self propagating network. One person trying all that shit alone might realize they don't actually know what they're doing, but they'll select their contacts to surround themselves with people who will reassure them that if the first letter of the name on that legal document is capitalized it actually means a shadow-account created at birth and not the biological person. They'll get support to help them overcome their doubts, fed by rumors of a friend of a friend who totally got it to work, or someone who got away with a warning on a traffic stop because they didn't recognize the cop's jurisdiction, or a friend's cousin who has been using a fake "Private" license plate for months and has never been puled over. None of these experts materialize and provide solid, actionable information in a crisis, but the rumors and support are enough to keep any doubts at bay.