Yes, but the server knows exactly what frames it has sent you and when. If you don't want to watch the ad frames there's nothing the server can do, but it can make sure to not send you the frame that comes after the ad, until the 10 seconds of the ad has passed since it sent you the last frame before the ad.
That works for pre-roll ads, forcing the client to silence them and wait at best (I believe the Twitch streaming service does this)
For mid-stream ads, that doesn't work. You could pre-fetch the ad and surrounding video early, so that you can watch buffered content while the server thinks an ad is playing.
