The FA and Newcastle United are gearing up for a legal battle over England striker Michael Owen.

He returned to action in a friendly behind closed doors last week after ten months on the sidelines with the knee injury he picked up on World Cup duty.

The Magpies are hoping their 27-year-old record signing will play again this summer, but manager Glenn Roeder is adamant he will not be rushed back.

However, England's need for the man currently sitting fourth in the list of all-time scorers is desperate as their Euro 2008 qualifying campaign reaches its climax.

Shepherd has threatened to go to court to prevent Owen from playing for his country against his club's wishes if he is called up for the qualifier in Estonia in June as his battle for compensation goes on.

The FA were not commenting on the matter yesterday, but it is understood they feel they have more than fulfilled their responsibilities to Owen's club and are prepared to fight their corner if Newcastle resort to the law.

Shepherd laid out his case in typically bullish fashion yesterday. He said: ''If the FA don't offer us a fair settlement, we are prepared to go to court to get an injunction that could stop Michael playing for England against Estonia.

''We would do that very reluctantly, but the FA's stance is unfortunately leaving us with no other option.

''We will be seeking a reimbursement of his medical costs, and if there is no offer from the FA, we will have no choice but to involve our lawyers.

''We have not been paid a penny by the FA for Owen's recuperation bill.

''They have not paid the price of even an aspirin for Michael since he left their care. They cut him loose as soon as he was put on the plane home.

''They have refused point-blank to pay us, despite it costing us well over £150,000 to aid his recuperation.

''They even told us to get the money off FIFA when it was clearly the FA's responsibility as he was in their care and control.

''After the World Cup, they didn't want to know him medically. The only thing that concerns them is when he could play for England again.

''We didn't even get a letter asking how he was or offering their regrets. Not a word. Is it any surprise that we are angry about how the FA have behaved?

''The FA are abusing a dominant position. They are taking our prize asset for nothing and then returning him as damaged goods.

''They then have the cheek to ask him to return as soon as possible to get them out of another mess.

''The FA are forcing me to go to court. Our lawyers believe there is a very good chance we can win this case.

''The FA may treat others with contempt, but they are not going to do it with Newcastle United.''

Shepherd's anger is exacerbated by the fact his club has only had Owen available for 11 games since his £17million move from Real Madrid in August 2005.

However, the FA insist they have done more than most associations would to compensate a club for the loss of a major player.

The insurance policy they took out means almost half of Owen's £103,000-a-week wages have been covered, a figure which means the Magpies have recouped in excess of £2million in addition to pay-outs from their own cover.

In addition, the FA backed Newcastle's claim for compensation from FIFA, although the governing body's offer of around £1.2million was around £5million short of what they wanted.

However, Owen's injury left his club with the bill for two operations at the Colorado clinic of expert Richard Steadman and his rehabilitation.