A federal appeals court on Thursday denied a Trump administration request to further delay enlistment of new transgender service members in the military.

The U.S. Court of Appeals for the Fourth Circuit is the first appeals court to rule on the administration's attempts to stay three lower court rulings prohibiting the government from implementing the president's ban on transgender troops. A judge has yet to rule in a fourth legal challenge.

The ruling comes in a case filed by the American Civil Liberties Union (ACLU), Stone v. Trump.

The three-judge panel said that it was rejecting the administration's stay “upon consideration” of documents filed in the case.

A Justice Department spokesperson said that the agency “disagreed” with the court's two-page order and was “evaluating the next steps” but stopped short of committing to an appeal. The government could appeal their case to the U.S. Supreme Court.

The order only covers transgender enlistments, which are set to start on January 1.

“We are happy that the court saw through the government’s smokescreen and rejected its request to further delay the policy allowing transgender people to enlist,” Josh Block, senior staff attorney with the ACLU LGBT & HIV project, said in a statement. “The military has already developed comprehensive guidance to prepare for a January 1 start date, and the government failed to offer any credible reason why transgender people should be barred from enlisting if they can meet the same rigorous standards that apply to everyone else.”