The celebrity heiress was ordered to attend the hearing rather than listen to the proceeding by telephone.
Hilton left jail on Thursday, just three days into a 45-day sentence for violating probation on a driving ban.
Her release from the prison, on unspecified medical grounds, had sparked widespread criticism.
Hilton attended court to hear the case for her "reassignment" to house arrest.
She arrived in handcuffs and cried throughout the court session.
The judge said that she would have to serve her full 45-day sentence.
"It's not right!" she shouted in response, before calling out to her mother in the audience.