A federal appeals court is ordering a U.S. district judge in New Mexico to reconsider a case involving a fight over critical habitat for the endangered jaguar in the American Southwest.

Groups representing ranchers had sued, arguing that a 2014 decision by the U.S. Fish and Wildlife Service to set aside thousands of acres for the cats was arbitrary and violated the statute that guides wildlife managers in determining whether certain areas are essential for the conservation of a species.

With the order released this week, the 10th Circuit Court of Appeals overturned an earlier ruling that had sided with the Fish and Wildlife Service.

Jaguars are currently found in 19 countries. Several individual male jaguars have been spotted in Arizona and New Mexico over the last two decades but there's no evidence of breeding pairs establishing territories beyond northern Mexico.

Shrinking habitats, insufficient prey, poaching and retaliatory killings over livestock deaths are some of the things that have contributed to the jaguar’s decline in the Southwest over the past 150 years.

Under a recovery plan finalized last year, Mexico as well as countries in Central and South America would be primarily responsible for monitoring jaguar movements within their territory. Environmentalists have criticized the plan, saying the U.S. government is overlooking opportunities for recovery north of the international border.