Lord Justices Nourse, Brooke and Buxton upheld Mr Justice Rattee's original ruling that Anticipation ad did not infringe copyright of Norowzian's film, 'Joy'.
The ad featured a man dancing around a glass of Guinness, which was meant to underscore the end line "good things come to those who wait".
However, in a move that will have wide-ranging implications for the media and film industry the judges ruled that a film (including TV and film ads) could be a dramatic work.
This is the first time that a UK court has given such a broad interpretation of the term dramatic work in the context of films.
A spokesman for Diageo said: "This decision will be of interest to all those involved in the advertising /film industries. The decision has broadened the protection that is available to films under English copyright law. Aspects of a film that were not previously understood to be capable of copyright may now be protectable by reason of this decision."
