A GOAL in each half saw the Linnets slide to their third defeat in four games yesterday.
Lynn were unable to build on a promising first 25 minutes, and rarely looked like finding a way back into the game after Rugby broke the deadlock eight minutes before the break.
The Linnets were boosted by the quick return of Lee Stevenson, who passed a late fitness test to be named in the starting line-up.
Injuries forced Lynn to play Adam Jones as centre-half alongside Mark Burrows.
Lynn's first opening came in the fifth minute when Carl Holmes delivered a pinpoint cross from the right which eluded both sets of players in the box.
Shortly after, Mark Angel dipped in a centre from the left which Stevenson narrowly headed over.
In the 11th minute a mix-up in the home defence allowed Stevenson to test Dean Thomas with a rasping drive which the Rugby stopper just kept out.
Two minutes later Andy Commander headed Mark Camm's low cross over his own bar and Burrows saw his header blocked by a crowd of players on the line from the resulting corner.
The Valley's first opportunity came after 17 minutes when Robbie Beard forced Steve Wilson into a smart save to his left.
But the Linnets continued to dominate, and in the 20th minute the busy Stevenson glanced an Angel free-kick inches wide.
Twelve minutes before the interval Beard sprinted clear of the Lynn defence but skied his shot over the bar from 15 yards.
Rugby took the lead through a Justin Marsden penalty in the 37th minute after Daryl Sutch had lazily lost possession on the left and Marsden was bundled to the ground by Burrows in the box.
The hosts nearly doubled their advantage three minutes later when Marsden's cross was screwed hair-raisingly wide by Beard.
Rugby's second goal came in the 58th minute when Beard found space just inside the visitors' box to drill home.
A long spell of Lynn pressure saw Burrows head wide in the 62nd minute, but The Walks outfit found it difficult to break down a resilient Rugby defence.
Seven minutes later Camm became Lynn's latest injury concern when he limped off, to be replaced by Nicky Blake.
Late on in the game substitute Chris Bacon saw his volley well saved by Thomas and deep into stoppage time fellow sub Robbie Harris' effort crashed back off the underside of the bar.
Lynn: Wilson, Camm (Blake 69), Sutch (Bacon 83), Burrows, Jones, Fishlock, Holmes, Stevenson (Harris 58), Battersby, Bloomfield, Angel. Subs not used: Anderson, Osborne.
Rugby: Thomas, Moran, Williams, Hart, Herbert, Commander, Squire, button, Beard (Douglas 79), Marsden (Shepherd 87), Evans. Not used: Charley, Redgate, Pearson.
Goals: Marsden 37, Beard 58. Booked:
Referee: O. Langford (Wednesbury).