The petition sought to void a memorandum of understanding signed by the New Mexico Livestock Board's executive director and the U.S. Forest Service, which had outlined procedures for removing and selling cattle owned by rancher Kit Laney and his former wife, Sherry Farr.

They have been grazing cattle on Forest Service land without the required grazing permits. The federal roundup began in early March.

State District Judge Frank Wilson declined to grant an injunction Wednesday against the roundup, saying the attorney for Laney and Farr and the Paragon Foundation of Alamogordo did not show the memorandum "either creates or affects anyone's substantial rights under New Mexico law."

"You're asking the court to intervene to put an official stamp of approval or disapproval on a document that is essentially unofficial and not binding on anybody," Wilson said.

Wilson characterized it as livestock board executive director Daniel Manzanares' opinion.

"All it does is make sure New Mexico state statutes are complied with," Manzanares said late Wednesday in a telephone interview. "We could not disobey this federal court order" to remove the cattle.

Paul Kienzle, the attorney representing the plaintiffs, argued that the memorandum should have been created in a public meeting by the entire board.

"It's a real miscarriage of justice for an awful lot of reasons," said Bob Jones, president of the Paragon Foundation Inc., a group devoted to defending private property rights. "Every livestock organization in the state of New Mexico is supporting our position."

The memorandum of understanding, he said, "sets a precedent that overrides state law. It's going to be very difficult to prevent this kind of thing from happening again."

Jones said the main problem with the memorandum was that it allowed the Forest Service to take ownership of the cattle without going through proper legal procedures.

"That was the whole point (of the memorandum) to give the Forest Service cover when they weren't in compliance in the first place," Kienzle said.

Manzanares said the roundup has been done in compliance with all the appropriate New Mexico livestock laws.

Farr said the livestock have been shipped through New Mexico without notification and she doesn't know where most of the cattle are.

Kienzle told the judge that Laney and Farr have a right to ensure the cattle are receiving the best treatment. If the animals lose weight or die, it means the pair will have to pay more when the Forest Service charges them for the roundup, he said.

Laney and Farr are to be charged for any cost not covered by the sale of their livestock. Forest Service officials have said they are taking good care of the livestock. They have estimated the cost of the roundup at more than $300,000.

Joe Delk, a New Mexico Livestock Board member, said he was notified of the memorandum by mail after it was signed. He thinks the issue should have been dealt with in a public meeting.

"Some may consider it a daily activity of the executive director, but I certainly don't," Delk said of the memorandum. "There's nobody out there holding (the Forest Service) accountable and that's where the livestock board should be more involved."

Manzanares said the action was within his administrative powers and added that a majority of the board supports his position.

Kienzle said he will have to talk to his clients to determine what the next step will be.

"It may be just a matter of seeing how things play out with the impoundment," he said.

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