Of course it is.
It's libertarians doing what they supposedly don't like - using the court system to interject themselves where the law doesn't allow them to be.
Wrong on both counts. libertarians are not opposed to the court system. And where you got the bizarre idea that law doesn't allow suit to address grievances is anyone's guess.
My understanding is that libertarians believe in the rights to let private groups hold private functions.
And their big angle is that this is being held at a public university? This is akin to a group putting on a play using a public school auditorium, and another citizen suing to get a part in the play because it's being held on school grounds.
Libertarians would laugh at that case. However, since they're the perceived victim in this case, they're all for using the law to get their foot in the door.