It is true that VLC cannot play commercially available Blu rays, I verified that today with The Hobbit, but in a pinch, it can be used to play the individual files in an iso if there are no other options. Personally, I typically use Powerdvd whenever I want to play a Blu ray, but use VLC for pretty much everything else. However, unfortunately for Bluto, it looks like VLC won’t work for him.
It can if you download the libraries. But that can be a headache.