Sacking Hird over his determination to continue legal action over the Australian Sports Anti-Doping Authority's inquiry into Essendon's 2012 supplements program remains an option.
Essendon announced last week it would not appeal Federal Court Justice John Middleton's decision that the joint ASADA-AFL investigation was lawful.
Hird has decided he will appeal the decision, with Federal Court Justice Susan Kenny to hear the argument on Thursday over whether to fast-track the appeal.
His decision came despite requests from the club and senior players to abandon his legal action.
Hird was expected to be sacked last Thursday after a telephone hook-up of Essendon's board, but chairman Paul Little announced that a strategy for deadling with Hird's insistence on continuing his appeal would be developed over the weekend or early this week.
Mark Thompson, who coached the Bombers in 2014 while Hird served a 12-month suspension for his part in the supplements program, is overseas, but made it clear at the club's best-and-fairest award last week that he wanted to continue as coach.
Thompson is also in the running to replace sacked Gold Coast coach Guy McKenna.