Since when was the Nazi party anything other than a political party? I have never heard such a claim before. Could you please provide a source for this claim?
I suggest you read What Law Is and A Praxeological Account of Law by forum member Clayton. Those should give you some idea of how disputes are settled, which should give you an idea why it would be unlikely that Private Defense Agencies would be in the business of initiating force (mainly because it’s so damn expensive!).