On Friday, U.S. District Judge Philip S. Gutierrez granted both sides another week to negotiate before he would hold a hearing on whether the tape can be sold or released. Gutierrez also extended a temporary restraining order barring SugarDVD from selling or taking orders for the tape, Tracy Rane, Troyer's attorney, told reporters.
"Mr. Troyer is working to prohibit the release of the full tape," Rane said.
Another of Troyer's attorneys said the two sides were discussing a permanent injunction that would keep SugarDVD or Blatt from marketing the tape or still images.
The actor sued SugarDVD, Blatt and gossip website TMZ.com for $20 million last month and sought to have release of the tape barred. Troyer claimed the sex tape had been stolen from his home, but TMZ reportedly presented a statement from Troyer's ex-girlfriend Ranae Shrider saying she took the tape and authorized parts of its release to TMZ.
TMZ aired parts of the tape on its website and TV show, prompting Troyer's lawsuit. A statement on SugarDVD's site claimed it was trying to broker a deal for the tape, but that statement has since been removed.
Blatt told XBIZ that he would not comment on advice of counsel, but added, "I'm waiting by the phone."
Representatives of SugarDVD told XBIZ that they could not comment on the case.
