City prosecutors are seeking to revoke Hilton's probation on grounds that she violated its conditions, which could result in a sentence of up to 90 days in jail.
In January, Hilton pleaded no contest to alcohol-related reckless driving stemming from a Sept. 7 arrest in Hollywood and was sentenced to 36 months' probation, alcohol education and $1,500 in fines.
On Feb. 28, she was ticketed for misdemeanor driving with a suspended license after her car was pulled over on Sunset Boulevard. Police said they saw her car speeding with its headlights off.
Hilton, 26, wasn't present for Tuesday's hearing before Superior Court Judge Michael Sauer. The hearing was conducted almost entirely with lawyers at the bench speaking in hushed tones with the judge.
Outside court, Hilton's attorney, Howard Weitzman, was asked whether the matter was close to being resolved. "It is," he said without elaboration.
The prosecutor didn't comment to reporters.
A spokesman has said that at the time Hilton wasn't aware her license had been suspended.
Hilton co-stars with Nicole Richie in "The Simple Life" reality TV show.