Down but not out, RealNetworks said it will file an appeal and ask that a court ruling to ban sales of its DVD-copying software, RealDVD, be lifted.

The original ruling dates back to August when a federal district judge issued a preliminary injunction to halt sales of the software after film studios successfully argued that RealDVD violated copyright law. The injunction drew major interest from consumers looking for some clarification in the murky Fair Use waters.

RealNetwork's appeal only addresses the injunction, not the case itself, which, barring a resolution, is moving towards a jury trial.

"What they're going to argue is that somehow the legal basis for the injunction is wanting," said Denise Howell, an appellate and technology lawyer. "They will say that there has been an error of law somewhere along the way but they're going to try and undo the injunction. Real is facing an uphill battle."

Image Credit: RealNetworks