SOUTHEND United have submitted their appeal against their points deduction to the Football Association.
The Shrimpers were docked 10 points by the National League in late August after failing to pay off their HMRC debt.
But Blues are arguing there are no league rules which dictate a points deduction should be forthcoming and instead believe a transfer embargo is a suitable punishment.
It is currently unknown when the appeal will be heard but it is understood it should happen before the end of September.
The Shrimpers are currently bottom of the table on two points but would be fifth without their points deduction.
Blues were warned by the league that they had until August 23 - the date of their last High Court appearance - to pay off their tax debt or a points deduction would be forthcoming.
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