Yes, a physical fight. They fight somewhere (some planet, doesn’t matter where) as a flashback, just like the flashbacks to Luke’s Jedi temple destruction.
We don’t see the end of the fight, but understand that it was inconclusive, and the reason why Luke retired to his island.Interesting but very ambitious, any idea on how to go about it?
Haven’t tried but I agree that the background might be a problem with those walkers.
But the way I see it I’d cut between Luke going about alone and sad on the island and the flashbacks. This way there would be less continuity problems. You only need some seconds of fight really, not the complete sequence.