The Wallaby fly-half has been ruled out of Saturday's third and deciding Test in Sydney because of injury.

He was hit by two late tackles in Melbourne and had to be substituted when the nerves in his right shoulder were so badly damaged he lost all movement in his arm.

Lions defence coach Phil Larder admitted the tourists had identified the ACT Brumbies player for special attention.

"We're obviously disappointed with some of the things that happened with Steve last week but we've opted not to talk about those at this stage," said MacQueen.

Larkham faces the possibility of surgery if the injury does not sufficiently heal, a measure which could rule him out for the Tri-Nations which starts later this month.

"The more times Steve Larkham is on the floor the better, but there was never anything malicious or unfair about it," said Larder.

His opinion was reiterated by manager Donal Lenihan, who also insisted the tourists had not been unfair.

The former Ireland international admitted Larkham had been hit by two late tackles, but said they were not the sole cause of his injuries.

"To be fair, Stephen Larkham's been carrying an injury into the Test series, so I don't think his injuries can be put down to the Lions series," said Lenihan.