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I suspect they are concerned about a malpositioned foal.
I'm reading through the posts here, and although I did not see the process, yes, from what I am reading they had cause for concern and I would have done the same. People need to realize that once a mare starts labor, this is a process that has fairly specific time frames and marker points for progress...if the mare does not stay within those time frames, it can be life threatening. I have had to help two malpositioned foals out, this is not like watching a cow take all day to calf...once a mare's labor starts, things have to make quick progress or the lives of mare, foal or both are in serious trouble. If the mare has had trouble foaling before, that's an even bigger red flag. Nature has designed mares to foal quickly and effectively, especially after the water breaks.
And personally, I don't see the harm in a bunch of people being by the stall, I always invite people over and there's always someone by or in the stall, usually for the baby's first day. We imprint our foals and the mares are well used to being handled and fussed with long before the foal comes out. I have delivered other people's foals the same way and I think it makes for a much better adjusted and socialized foal. Once the foal is out, I let the pair rest awhile and then I hold the foal and instruct others in helping with the imprinting. We do this before and after the foal stands and nurses. I think this has really helped some of the other foals I have helped people with, because they often don't know what to do with babies.